Interbank borrowing expanded

Trust companies, financial leasing firms and insurers in China will be allowed to borrow from each other for the first time this year, Bloomberg reported. The move, which also includes auto financing firms and insurance asset management units, will be in effect from August 6, according  to the People's Bank of China. Banks will be allowed to borrow for up to a year and insurers for up to three months. Brokerages and trust companies have a borrowing time limit of seven days. In January, the central bank published the Shanghai interbank offered rate (Shibor), a benchmark rate for lending between banks.