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PBoC keeps benchmark rates unchanged

Bank holds one- and five-year loan prime rates, despite weak economic data

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China’s central bank left its benchmark rates unchanged today (September 20), thereby surprising some analysts who had expected more support for the economy.

The bank said in a statement that the one-year loan prime rate (LPR) would be kept at 3.35% and the five-year LPR would remain at 3.85%.

The one-year LPR forms the basis for most new and outstanding loans in China, while the five-year rate is a reference for mortgages.

Banks normally charge LPRs to their best clients. They are calculated each

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