Beijing keeps lending benchmark unchanged

The pricing of the LPR is loosely pegged to the People’s Bank of China (PBoC) medium-term lending facility (MLF) rate, which the central bank kept unchanged last week, dashing expectations for a cut.

SHANGHAI: China kept its benchmark interest rate for corporate and household lending unchanged yesterday, as expected, although analysts say the case for monetary stimulus is building amid mounting external risks to an already slowing economy.

The one-year loan prime rate (LPR) was held at 3.7% while the five-year LPR remained at 4.6%.