30 Oct 2008

China cuts interest rates again

6:17 am on 30 October 2008

The People's Bank of China has cut its interest rate by 0.27% in order to stimulate economic growth.

The rate cut, which will come into effect on Thursday, will see rates fall from 6.93% to 6.66%.

It is the third rate cut by the central bank in the past six weeks.

The US Federal Reserve is widely expected to cut rates in the US on Wednesday and other countries could follow suit in the coming weeks.

China's central bank has also lowered the rate on one-year fixed deposits, from 3.87% to 3.6%.