The PBoC slashed its five-year Loan Prime Rate (LPR), which is a reference for home mortgages, by 15bps to 4.45% in May 2022, the most since a revamp of the rate in 2019, and following a 5bps cut in January. A few days earlier, the central bank cut the floor on the rate for new mortgages to 20 basis points below the five-year LPR. The moves aim to boost loan demand and shore up a slowing economy due to the worst coronavirus outbreak in over two years and a property crisis. Meanwhile, the one-year LPR which is a reference for corporate and household loans, was kept unchanged at 3.7% after cuts of 5 and 10 bps in December and January. source: People's Bank of China
Loan Prime Rate 5Y in China averaged 4.68 percent from 2019 until 2022, reaching an all time high of 4.85 percent in September of 2019 and a record low of 4.45 percent in May of 2022. This page includes a chart with historical data for China Loan Prime Rate 5Y. China Loan Prime Rate 5Y - data, historical chart, forecasts and calendar of releases - was last updated on May of 2022.