The Central Bank of the People’s Republic of China is responsible for formulating and implementing monetary policies, preventing and resolving financial risks, and maintaining financial stability.
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China has set a benchmark Loan interest rates remain unchanged On Monday, Beijing grappled with a weaker yuan while awaiting policy cues from the incoming administration of Donald Trump.
According to a statement from the People’s Bank of China, the People’s Bank of China maintained the one-year loan preferential interest rate at 3.1% and the five-year loan market quotation rate at 3.6%.
The 1-year LPR determines the interest rate on business and most home loans, while the 5-year LPR serves as a reference for mortgages.
The decision comes ahead of Donald Trump’s inauguration as the next president of the United States on Monday.
China’s offshore yuan has fallen more than 3% since Donald Trump won the presidential election in early November. The tightly controlled onshore yuan also fell back to near 16-month low.
economic activity in china Acceleration beyond expectations In the last quarter of last year, stimulus measures announced by Beijing since September began to take effect, helping the economy achieve its annual growth target.
although Upbeat headline numbersEconomists warn that some of the potential growth momentum may be temporary amid weak consumer demand, an ongoing housing downturn and an imminent tariff hike by the incoming Trump administration.
Pan Gongsheng, Governor of the People’s Bank of China In September it was said that it was possible By the end of 2024, lowering the deposit reserve ratio will free up more cash for banks to lend. Policy stance shifts to “moderate easing”.
The People’s Bank of China surprised markets by cutting key short- and long-term interest rates. July loan interest ratefollowed by A 25 basis point interest rate cut is widely expected in October.. The central bank kept lending rates unchanged in November and December.
