China - PBOC to announce new reference rate for bank loans, to lower borrowing costs to firms
The People's Bank of China is to central bank begin releasing a new reference rate for bank loans
- Should see lower rates for business borrowing
- of benefit to SMEs especially
People's Bank of China will announce the new loan prime rate, or LPR, at 9:30am on the 20th of every month
- starting this week!
- commercial lenders will be required to set the price for new loans to businesses and households mainly with reference to the LPR
- price for outstanding loans can stay unchanged for now