China In-Focus — Central bank to cut interest rate for new mortgages to 4.4%

RIYADH: China’s central bank is taking steps to boost the country’s housing market and slowing economy. Retail sales and factory production have slipped in the Asian country during April as a result of the COVID-19 lockdowns. Smartphone shipments also slipped 40.5 percent year-on year in March. The stock market is forecasted to near the bottom in the near future, according to one of the country’s top investment bankers.

• China’s central bank has announced that it will be cutting the interest rate for new mortgages to 4.4 percent, down from 4.6 percent, Bloomberg reported. This comes as the Asian country wants to further advance the housing market as well as bolster the country’s decelerating economy.
• The country’s retail and factory activity plunged during the month of April as a result of lockdowns which consequently negatively affected supply chains in the process, Reuters reported. While retail sales in April slipped 11.1 percent when compared to the corresponding period last year, factory production dropped 2.9 percent from a year earlier. 
• Smartphone shipments within China shrank 40.5 percent year-on- year in March 2022 to reach 21.5 million smartphones, Reuters reported.
• China’s stock markets are projected to be approaching the bottom, CNN reported, citing one of the Asian country’s top investment bankers. The dealmaker’s comments come after the benchmark Shanghai Composite index was seen dropping by 15 percent while the Shenzhen Composite plunged 24 percent respectively.