As the economy continued to lose momentum,it reduced benchmark lending and deposit rates last month, taking economists by surprise.
It's obvious that the central bank didn't want to cut the interest rate - other ministries were calling for a cut:said dong Tao,chief regional economist for Asia excluding Japan at credit suisse group in hong kong. the central bank cannot solely decide china's interest rate moves,and the real decision making power lies at the state councill.
the PBOC follows orders from the cabinet and shoulders responsibility for sustaining the economy.BLOOMBERG