PBoC cuts 10 bps to the 1-year and 5-year Loan Prime Rate

The People’s Bank of China (PBoC) announced on Monday that it cut the one-year Loan Prime Rate (LPR) by 10 basis points (bps) from 3.45% to 3.35% and cut the five-year LPR from 3.95% to 3.85%.

Furthermore, the PBoC announced to cut its interest rate for the 7-day reverse report to 1.7% from 1.8%. The rate cut will be effective immediately on Monday. Additionally, the Chinese central bank also eased medium-term lending facility (MLF) requirements.