China's Central Bank Takes Action as Record Covid-19 Outbreak Hits Economy

China’s central bank moved to backstop growth by boosting lending to households and businesses, as the world’s second-largest economy struggles with its biggest Covid-19 outbreak since the pandemic began. Economists said the shift in policy will likely have limited impact, as repeated lockdowns, a continuing real-estate crunch and fading demand for Chinese exports mean appetite for loans is weak. Still, the move—telegraphed earlier in the week by China’s State Council, which acts as its cabinet—nonetheless underlines the darkening outlook for growth as authorities tighten restrictions across the country to stamp out record infections.