This continues from the story earlier here as China is doubling down on banks, this time wanting to encourage more flows into the yuan currency instead.
The Chinese self-regulatory body overseen by the central bank has reportedly asked major state-owned banks to lower their dollar deposit interest rates, with the cap now being at 4.3% (previously 5.3%) for dollar deposits of $50,000 and above.
This is largely to try and encourage Chinese firms, particularly exporters, to settle their FX receipts in the yuan – after the currency has fallen considerably over the past few weeks against the dollar.