China’s key benchmark lending rate for May has remained unchanged compared to the previous month.
The loan prime rates (LPR) released by the National Interbank Funding Center on 20 May were 3.85% for a term of one-year and 4.65% for a term of five years, on par with the readings for April.
The LPR in China is the lending rate provided by commercial banks to their highest quality customers, and serves as the benchmark for rates provided for other loans.
At present the LPR reporting group is comprised of 18 commercial banks in China, including an original core group of 10 national banks, plus two municipal commercial banks, two rural village commercial banks, two foreign invested banks and two privately operated banks.
The National Interbank Funding Center (全国银行间同业拆借中心) serves as the designated publisher of the LPR, and releases the figures at 9:30 am on the 20th of each month, after first collecting quotes from the group of reporting banks and calculating the average of these quotes following exclusion of the lowest and highest quotes.