(VOVworld) - The People's Bank of China (PBOC), the central bank, on Friday cut the reserve requirement ratio (RRR) of banks and the benchmark interest rates.

The People's Bank of China cuts interest rates, the sixth of its kind, in a hope to boost the declining economy. (Photo: AFP)

From Saturday, interest rates for one-year loans and deposits will be cut by 0.25% to 4.35% and 1.5% respectively, the bank said.

The decision is followed by a report showing that China's economy expanded 6.9% in the third quarter of 2015, the first time the quarterly growth rate has dropped below 7% since the second quarter of 2009.

The slow growth has pressured policymakers to further cut interest rate and implement other support measures to avoid the national GDP from more declines.