The People's Bank of China (PBoC) slashed its 1-year loan prime rate (LPR) by 10bps to a record low of 3.45% while unexpectedly holding steady the 5-year rate, a reference for mortgages, at 4.2%. Monday’s decision followed a surprising reduction in both short-term loan rates and the medium-term policy rate by the central bank last week, as it seeks to strike a balance between helping the faltering Chinese economy and stemming further weakness in the yuan. The PBoC has repeatedly vowed to release more liquidity for the economy, amid slowing business activity, a growing deflationary outlook, and weak trade performance. Premier Li Qiang recently mentioned that meeting China's annual economic targets was not optional and highlighted the need to expand domestic demand, support private companies, and attract foreign investment. . source: People's Bank of China

Interest Rate in China averaged 4.35 percent from 2013 until 2023, reaching an all time high of 5.77 percent in April of 2014 and a record low of 3.45 percent in August of 2023. This page provides the latest reported value for - China Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. China Loan Prime Rate - data, historical chart, forecasts and calendar of releases - was last updated on August of 2023.

Interest Rate in China is expected to be 3.40 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the China Loan Prime Rate is projected to trend around 2.90 percent in 2024 and 3.40 percent in 2025, according to our econometric models.

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China Loan Prime Rate



Calendar GMT Reference Actual Previous Consensus TEForecast
2023-06-20 01:15 AM 3.55% 3.65% 3.55% 3.55%
2023-07-20 01:15 AM 3.55% 3.55% 3.55% 3.55%
2023-08-21 01:15 AM 3.45% 3.55% 3.4%
2023-09-20 01:15 AM 3.45%
2023-10-20 01:15 AM
2023-11-20 01:15 AM


Related Last Previous Unit Reference
Interest Rate 3.45 3.45 percent Aug 2023
Cash Reserve Ratio 10.75 10.75 percent Aug 2023
Interbank Rate 2.42 2.42 percent Aug 2023
Money Supply M1 67721.89 69559.55 CNY Billion Jul 2023
Money Supply M0 10612.97 10541.92 CNY Billion Jul 2023
Money Supply M2 285403.16 287302.38 CNY Billion Jul 2023
Central Bank Balance Sheet 408091.68 418062.84 CNY Hundred Million Jul 2023
Foreign Exchange Reserves 3204270.00 3192998.00 USD Million Jul 2023
Banks Balance Sheet 345.90 3050.00 CNY Billion Jul 2023
Loans to Private Sector 5282.00 42242.00 CNY Hundred Million Jul 2023
Deposit Interest Rate 0.35 0.35 percent Jul 2023
Loan Growth 11.10 11.30 percent Jul 2023
Reverse Repo Rate 1.80 1.90 percent Aug 2023
Liquidity Injections Via Reverse Repo 382.00 385.00 CNY Billion Aug 2023
Loans To Banks 2297264.69 2294723.42 CNY Hundred Million Jul 2023
Lending Rate 4.35 4.35 percent Oct 2022

China Loan Prime Rate
The People’s Bank of China (PBOC) on August 17th, 2019, designated the Loan Prime Rate (LPR) the new lending benchmark for new bank loans to households and businesses, replacing the central bank’s benchmark one-year lending rate. The rate is based on a weighted average of lending rates from 18 commercial banks, which will submit their LPR quotations, based on what they have bid for PBOC liquidity in open market operations, to the national interbank funding center before 9am CST on the 20th of every month.
Actual Previous Highest Lowest Dates Unit Frequency
3.45 3.45 5.77 3.45 2013 - 2023 percent Daily

News Stream
China Cuts 1-Year LPR Rates to Record Low
The People's Bank of China (PBoC) slashed its 1-year loan prime rate (LPR) by 10bps to a record low of 3.45% while unexpectedly holding steady the 5-year rate, a reference for mortgages, at 4.2%. Monday’s decision followed a surprising reduction in both short-term loan rates and the medium-term policy rate by the central bank last week, as it seeks to strike a balance between helping the faltering Chinese economy and stemming further weakness in the yuan. The PBoC has repeatedly vowed to release more liquidity for the economy, amid slowing business activity, a growing deflationary outlook, and weak trade performance. Premier Li Qiang recently mentioned that meeting China's annual economic targets was not optional and highlighted the need to expand domestic demand, support private companies, and attract foreign investment.
2023-08-21
China Keeps LPR Lending Benchmark Unchanged
The People's Bank of China (PBoC) maintained lending rates at the July fixing after the central bank earlier in the week kept its medium-term policy rate unchanged despite further signs of stalling economic recovery that calls for more stimulus. The one-year loan prime rate (LPR), which is the medium-term lending facility used for corporate and household loans was left unchanged at 3.55%; while the five-year rate, a reference for mortgages was kept at 4.2%, in line with market forecasts. The central bank slashed two key lending rates by 10bps for the first time in 10 months on June 20th. The move came after the GDP grew faster in Q2, despite lower market forecasts. For the first half of the year, the economy expanded by 5.5%, higher than the government's target of around 5% for this year.
2023-07-20
China Cuts LPR Rates for 1st Time in 10 Months
The People's Bank of China (PBoC) slashed two key lending rates for the first time since August 2022 at the June fixing, as authorities seek to prop up growth. The one-year loan prime rate (LPR), which is the medium-term lending facility used for corporate and household loans, was lowered by 10bps to 3.55%; while the five-year rate, a reference for mortgages, was trimmed by the same margin to 4.2%, in line with market expectations. The move came after two easing decisions last week, with more stimulus from Beijing expected. Chinese cabinet met last Friday to discuss measures to support the economic recovery, trying to step up financing support for tech companies and draft rules for supervising private funds. Meantime, several global investment banks, most recently Goldman Sachs, cut their 2023 GDP growth forecasts for China following weak economic data for May. The economy is also coping with a steady disinflationary trend, amid feeble consumer and business spending.
2023-06-20