The People's Bank of China held steady its key rates for corporate and household loans at June fixing, as the economy starts to gradually recover from COVID-19 lockdowns. The one-year loan prime rate (LPR) was left unchanged at 3.7%; while the five-year rate, a reference for mortgages, was also maintained at 4.45%, following a record 15-basis point cut in May. The State Council, China’s cabinet, last week said that the country "won’t print an excessive amount of money or overdraw the future,” indicating caution against monetary stimulus that major developed nations took in response to the pandemic. Meantime, borrowing demand by households and companies still remains weak due to the pandemic-induced slump and a months-long property downturn. While credit picked up in May, it was largely attributed to a jump in government bond sales and a rise in short-term lending, according to Bloomberg News. source: People's Bank of China
Interest Rate in China averaged 4.44 percent from 2013 until 2022, reaching an all time high of 5.77 percent in April of 2014 and a record low of 3.70 percent in January of 2022. 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 July of 2022.
Interest Rate in China is expected to be 3.45 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 3.75 percent in 2023, according to our econometric models.