Deposit waived to release funds

CHINA, which grew at its slowest pace in five years, will free up 18.5 billion yuan (US$2.7 billion) of funds for exporters by waiving a deposit requirement, the Ministry of Commerce said.

The new policy, which will take effect on December 1, will cover products with a total export value of US$30 billion last year, the ministry said in a statement on its Website yesterday. Deposits will be waived on textile, plastic, furniture exports. China previously limited exports of some goods by locking up companies' cash flow by requiring a refundable deposit.