China Keeps Lending Rates Steady for 5 Months
The People's Bank of China (PBOC) kept its benchmark lending rate unchanged for the fifth consecutive month in October, in line with market expectations. This move follows its decision to maintain the seven-day reverse repo rate—now the benchmark interest rate—last week amid the US Federal Reserve's resumption of monetary easing in September and ongoing Sino-US trade tensions.
The one-year Loan Prime Rate (LPR), the benchmark for most corporate and household loans, remained at 3.0%, while the five-year LPR, the benchmark mortgage rate, remained at 3.5%. Both rates were last lowered by 10 basis points in May. These decisions came ahead of a series of key economic data releases, including third-quarter GDP, industrial production, and retail sales. Meanwhile, new yuan loans rose sharply in September 2025, more than double the August figure, driven by seasonal factors that typically drive lending during that month. (asd)
Source: Newsmaker.id
