tradingkey.logo

China leaves lending benchmark LPRs unchanged as expected in Feb

ReutersFeb 20, 2025 1:05 AM

- China left benchmark lending rates unchanged at the monthly fixing on Thursday, showing authorities are going slow with monetary stimulus as they prioritise financial and currency stability.

The one-year loan prime rate (LPR) CNYLPR1Y=CFXS was kept at 3.10%, while the five-year LPR CNYLPR5Y=CFXS was unchanged at 3.60%.

In a Reuters poll of 30 market participants conducted this week, all of them expected no changes to either of the two rates.

Most new and outstanding loans in China are based on the one-year LPR, while the five-year rate influences the pricing of mortgages.

In October 2024, Chinese lenders slashed lending benchmarks by bigger-than-expected margins to revive economic activity.

Disclaimer: The information provided on this website is for educational and informational purposes only and should not be considered financial or investment advice.

Related Articles

KeyAI