China cuts reserve requirements for bank to help boost its slowing economy

China's central bank has announced it will reduce the ratio of reserves banks must hold to help boost the slowing economy. The announcement by the People's Bank of China prompted a surge in share prices in Chinese markets, with Hong Kong's benchmark jumping 3.6%. Central bank Gov. Pan Gongsheng said the deposit reserve requirement would be cut by 0.5% as of Feb. 5. Pan said that would inject about 1 trillion yuan ($141 billion) into the economy. He told reporters in Beijing that the central bank soon plans to issue a policy on lending to property developers to help support the industry.