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BEIJING, China – China is likely to ease controls on interest rates paid on bank savings within two years and will allow wider use of its tightly controlled currency for trade and investment, the central bank governor said Tuesday.
Zhou Xiaochuan’s comments follow pledges by Chinese leaders to make the country’s slowing economy more productive by giving market forces a “decisive role” in allocating credit and other resources.
Allowing banks to compete for deposits by paying higher rates on savings would put more money in the pockets of Chinese families, helping to achieve official goals of boosting consumer spending and reducing reliance on trade and investment.
“Liberalization of deposit rates, this should be the last step in interest rate marketization,” said Zhou at a news conference. “I personally believe it is very possible to realize this within one to two years.”
Beijing announced its first major reform of interest rates in July, scrapping controls on lending rates…

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Canadians can now trade in their old iPhones at an Apple store for a credit of up to $275 toward a new model.

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