To implement the spirit of the Central Economic Work Conference and the arrangements outlined in the Report on the Work of the Government, and to implement a moderately loose monetary policy to enhance the foresight, pertinence, and effectiveness of macroeconomic regulation and control, the People's Bank of China has decided that, starting from May 15, 2025, it will reduce the reserve requirement ratio (RRR) of financial institutions by 0.5 percentage points (excluding financial institutions that already implement a 5% RRR), and reduce the RRR of auto finance companies and financial leasing companies by 5 percentage points.
