The People's Bank of China announced on the April 5, that the deposit reserve ratio will be increased by 0.5 percentage points since April 16, 2007. This increase is for the central bank to cope with the latest situation of excess liquidity measure aimed at controlling the resulting credit expansion and investment rebound.

As China's first local corporate restructuring allowed foreign banks, Bank of East Asia (China) Ltd., HSBC (China) Ltd., Citibank (China) Limited and Standard Chartered Bank (China) Co., Ltd., officially opened on April 2.

After acceptance of the banking supervision department, The four foreign banks soon will be legal to mainland China to provide a full range of RMB and foreign exchange services.including conducting RMB business against mainland residents.