Investing.com - The People's Bank of China cut its benchmark interest rate on Tuesday and lowered the amount of cash banks are required to hold, as Beijing steps up efforts to support a stock market rout and a deepening economic slowdown.
The People's Bank of China cut the one-year lending rate to 4.6% from 4.85% effective Wednesday.
China's central bank also reduced its reserve requirement ratio by 0.5%, with that requirement effective on September 6.
The Shanghai Composite tumbled more than 7% on Tuesday to close below the key 3000-level amid disappointment that Beijing had yet to implement fresh measures to support stocks.
Chinese equities have lost nearly 30% over the past two weeks amid growing fears over China's slowing economy and worries that Beijing may allow the yuan to continue to depreciate.
Financial markets have been roiled since China devalued the yuan on August 11, sparking a selloff in equities, commodities and emerging-market assets.