PBOC opens up CDs to public

The People’s Bank of China will soon let banks offer large-denomination certificates of deposits to individuals and companies, as it continues financial reforms, The Wall Street Journal reported, citing unnamed sources close to the central bank. The minimum investment will be set at around US$16,000 (RMB100,000) and the interest rate offered has been set at 3.4% on one-year CDs, slightly higher than the maximum 3.3% that banks can pay on a one-year fixed deposit. The CDs will be available on a trial basis involving more than 10 banks as early as the end of this month.