[Money]
China cuts market-based benchmark lending rates
by Shine
May 20, 2025[Money]
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China on Tuesday cut its market-based benchmark lending rates, with the one-year loan prime rate (LPR) down to 3 percent from the previous reading of 3.1 percent.
The over-five-year LPR, on which many lenders base their mortgage rates, was lowered to 3.5 percent from 3.6 percent, according to the National Interbank Funding Center.
Tuesday's LPR decline — the first this year — is expected to further reduce the borrowing costs of businesses and individuals, improve market confidence, and support the steady growth of the real economy.
Analysts said the lowered interest rates sent a clear signal that China is resolved to stabilize the market and expectations amid global uncertainties.
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