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Comments on China's huge interest rate cut Wednesday
By Xin Zhiming and Wang Bo  (China Daily)
Updated: 2008-11-26 20:48

Special coverage:
Interest Rate Cut
Coping with Financial Crisis


Comments on China's huge interest rate cut Wednesday

Dong Xian'an: macroeconomic analyst, China Southwest Securities

The cuts in the interest rates are well beyond market expectations. The cuts may lead to reduced interest payments for homebuyers of up to 300 billion yuan, while enterprises would benefit from reduced lending costs. The move is in the right direction, as it would help enterprises and consumer consumption.

The central government stance has become clearer than ever and the authorities may cut the rates again in December if the November economic indicators do not show much improvement.


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