China Cuts Bank Reserve Requirement Minimum in Effort to Spur Growth

China says it's cutting the minimum level of reserves its banks are required to hold. The move is aimed at stemming the country's deepening economic slowdown. The People's Bank of China said on Wednesday that the reduction will make more money available for lending to support small and rural enterprises, construction projects, and other activity. It said the amount of their deposits that China's commercial lenders will be required to hold in reserve will be reduced by at least half a percent. They say the reduction for rural banks will be bigger. Analysts expected new stimulus measures after last year's economic growth slowed to a 24-year low of 7.4%. The move is the equivalent of adding about $96 billion to the balance sheets of China's state banks.