China steps up efforts to support its slowing economy

London (CNN Business)China is taking new steps to encourage bank lending and stimulate the country’s flagging economy. Economists said the move was partly about managing the amount of money in circulation ahead of Chinese New Year, when cash is often exchanged as gifts. But Capital Economics said the policy change is “also intended to provide support to the economy and will be reinforced with further easing soon.” “Given the pressures the economy is facing though, it could still be months before growth stabilizes,” noted analysts at the research firm. After decades of sharp expansion, the Chinese economy is cooling. Growth in 2018 is set to be the weakest since 1990, and 2019 looks even worse. China is feeling the effects …