China’s Central Bank Goes With the Flow on Easing.

The article discusses the People's Bank of China's (PBoC's) decision in February 2015 to lower the reserve-requirement ratio for Chinese banks. The author notes the PBoC had not changed the ratio since May 2012, but was moved to act by a surge of capital flowing out of China due in part to the country's declining rate of economic growth. The PBoC said it wants banks to use the $94 billion in bank deposits the ratio cut makes available for lending to go to small companies and rural interests.