China Above 5-Year Loan Prime Rate Trends (2024)

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China Above 5-Year Loan Prime Rate Trends? ›

China Above 5-Year Loan Prime Rate is at 3.95%, compared to 3.95% last month and 4.30% last year. This is lower than the long term average of 4.50%.

China Loan Prime Rate (I:CLPR)

China Loan Prime Rate is at 3.45%, compared to 3.45% last month and 3.65% last year. This is lower than the long term average of 3.77%.

Interest Rate forecasts and outlook for China

The 1-Year Loan Prime Rate ended 2022 at 3.65%, down from the 3.8% end-2021 value and below the reading of 5.73% a decade earlier. For reference, the average 1-Year Loan Prime Rate in the Asia-Pacific region was 3.7% at end-2022.

The Chinese central bank kept its one-year loan prime rate — the peg for most household and corporate loans in China — unchanged at 3.45%. The benchmark five-year loan rate — the peg for most mortgages — was cut by 25 basis points to 3.95%, according to a statement Tuesday from the People's Bank of China.

BEIJING, April 22 (Xinhua) -- China's one-year loan prime rate (LPR), a market-based benchmark lending rate, came in at 3.45 percent Monday, unchanged from the previous month.

Chinese lenders slashed their five-year loan prime rate by 25 basis points to 3.95%, the People's Bank of China announced Tuesday. It was the first cut since June and the largest reduction since a revamp of the rate was rolled out in 2019. Still, the move failed to impress investors.

US Prime Rate Forecast is at 5.76%, compared to 5.76% last quarter and 5.76% last year. This is lower than the long term average of 5.82%.

The five-year rate, a reference for mortgages, was kept at 3.95%, according to the People's Bank of China, also as expected.

National debt of China 2028

The national debt in China was forecast to continuously increase between 2023 and 2028 by in total 9.6 trillion U.S. dollars (+67.74 percent). After the tenth consecutive increasing year, the national debt is estimated to reach 23.9 trillion U.S. dollars and therefore a new peak in 2028.

In China, the People's Bank of China (PBOC) manages the money supply by printing currency, changing the reserve ratio, and adjusting the discount rate, among other methods.

Why China has low interest rate? ›

China cuts key interest rate in the latest move to boost its ailing property sector. BANGKOK (AP) — China's central bank announced Tuesday that it cut its 5-year loan prime rate while leaving its 1-year rate unchanged in the latest move to ease pressures on the ailing property market.

SHANGHAI -- China's central bank on Tuesday cut its five-year mortgage benchmark by the biggest margin yet, as it aims to boost an economy weighed down by a distressed property sector and weak business confidence.

Basic Info. China Above 5-Year Loan Prime Rate is at 3.95%, compared to 3.95% last month and 4.30% last year. This is lower than the long term average of 4.50%.

1 year medium-term lending facility rate

The People's Bank of China (PBOC) kept the 1-year Medium-term Lending Facility (MLF) rate unchanged at 2.5%, in line with expectations. Typically the MLF decision is a precursor for the Loan Prime Rate (LPR) decision to follow.

China Non Performing Loans Ratio stood at 1.6 % in Dec 2023, compared with the ratio of 1.6 % in the previous quarter See the table below for more data.

In 2023, aggregate local government debt had risen to 92 trillion yuan ($12.58 trillion) and the central government of People's Republic of China ordered its banks to roll over debts in a debt-restructuring. China's gross external debt in 2023 was $2.38 trillion.

US Bank Prime Loan Rate is at 8.50%, compared to 8.50% the previous market day and 8.00% last year. This is higher than the long term average of 6.83%. The US Bank Prime Loan Rate measures the rate at which banks lend to their clients.

China's role as international lender.

For example, in low-income countries, China's loans typically have interest rates of 2 to 3%, in contrast to comparable grants by multilateral creditors, which tend to be interest-free.