Official announcements from the People's Bank of China (PBOC) and major news outlets like Reuters, Bloomberg, and Financial Times

China Considers $142 Billion Capital Injection for Major Banks, Plans CN¥500,000,000,000 Stock Market Boost

Sep 26, 2024, 02:04 AM

China is considering injecting up to $142 billion of capital into its biggest state banks, marking the first time since the global financial crisis in 2008 that such a move has been contemplated. This significant financial injection aims to bolster economic stimulus and stabilize the banking sector. Additionally, China plans to inject at least 500 billion yuan ($71 billion USD) of liquidity directly into the stock market. Securities firms, funds, and insurers will be allowed to tap into People's Bank of China (PBOC) funds to purchase stocks, further supporting the market. China also plans to inject capital into six major commercial banks.