Reported 8 months ago
In its monthly fixing, China's PBOC left benchmark lending rates unchanged, reflecting limited monetary easing efforts due to narrow interest rate margins and a weakening currency. The one-year loan prime rate stood at 3.45%, and the five-year rate at 3.95%, with most market participants expecting no change. Despite government support to address oversupply and debt-laden developers, new home prices dropped sharply in May, while new bank lending was lower than anticipated, indicating challenges in economic recovery. Financial News suggested there is still room to lower interest rates, but China faces constraints in adjusting monetary policy.
Source: YAHOO