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China slashes key lending rates to bolster ailing economy
The Straits Times
|October 22, 2024
Loan prime rate cut comes after central bank's Sept push to encourage bank lending
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BEIJING – China cut its benchmark lending rates after the central bank lowered key interest rates at the end of September as part of a series of measures aimed at reviving economic growth and halting a housing market crash.
The one-year loan prime rate (LPR) was cut to 3.1 per cent from 3.35 per cent, while the five-year LPR was reduced to 3.6 per cent from 3.85 per cent.
Most new and outstanding loans in China are based on the one-year LPR, while the five-year rate influences the pricing of mortgages and other long-term loans.
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