The central bank ＂cut interest rates＂!

The website of China People’s Bank announced the latest LPR quotation on 22nd. On the same day, the operating interest rate of 7-day reverse repurchase in the open market was adjusted from the previous 1.80% to 1.70%.

LPR quotation was released in July.

The People’s Bank of China authorized the National Interbank Funding Center to announce that on July 22, 2024, the quoted interest rate (LPR) in the loan market was 3.35% for one year and 3.85% for five years or more. The above LPR is valid until the next LPR release.

On June 20, 2024, the loan market quoted interest rate (LPR) was: 1-year LPR was 3.45%, and 5-year LPR was 3.95%.

In order to strengthen the expected management and promote the better connection between the LPR release time and the financial market operation time, the LPR release time will be adjusted from 9:15 am on the 20th of each month (postponed in case of holidays) to 9:00 am from July 22, 2024.

7-day reverse repurchase operation adjustment

The People’s Bank of China announced on the 22nd that in order to optimize the open market operation mechanism, from now on, the 7-day reverse repurchase operation in the open market will be adjusted to fixed interest rate and quantity bidding. At the same time, in order to further strengthen counter-cyclical adjustment and increase financial support for the real economy, the operating interest rate of 7-day reverse repurchase in the open market will be adjusted from the previous 1.80% to 1.70% from now on.

Source/Comprehensive China People’s Bank website

This article is from: Economic Daily