China lowers benchmark lending rates for first time since October
China has reduced its benchmark lending rates. This is the first cut since October. The one-year loan prime rate and the five-year LPR both saw a decrease. These rates influence loan pricing and mortgages. This action follows other stimulus measur...
By Reuters | Updated:
IANS
China cut benchmark lending rates for the first time since October on Tuesday, after Beijing announced sweeping monetary easing measures earlier this month to support the broad economy.
The one-year loan prime rate (LPR) was lowered by 10 basis points to 3.0% from 3.1% previously, while the five-year LPR was reduced by the same margin to 3.5% from 3.6%.
Most new and outstanding loans in China are based on the one-year LPR, while the five-year rate influences the pricing of mortgages.
Chinese authorities have announced a raft of stimulus measures, including interest rate cuts and a major liquidity injection, as Beijing steps up efforts to soften the economic damage caused by the trade war with the United States.
The one-year loan prime rate (LPR) was lowered by 10 basis points to 3.0% from 3.1% previously, while the five-year LPR was reduced by the same margin to 3.5% from 3.6%.
Most new and outstanding loans in China are based on the one-year LPR, while the five-year rate influences the pricing of mortgages.
Chinese authorities have announced a raft of stimulus measures, including interest rate cuts and a major liquidity injection, as Beijing steps up efforts to soften the economic damage caused by the trade war with the United States.
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