China's central bank frees up $188 billion as Evergrande default fears rise

China’s central bank expanded the supply of money for lending on Monday as Beijing tried to reassure its public and investors the economy can be protected if the troubled real estate developer Evergrande’s $310 billion mountain of debt collapses.

The People’s Bank of China (PBOC) said it would cut the amount of cash that banks must hold in reserve, its second such move this year, releasing 1.2 trillion yuan ($188 billion) in long-term liquidity.  

The move came just before Evergrande Group announced it has set up a risk management committee that includes officials from state entities. The cash-strapped property developer is inching