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China's Mortgage Rates May Rise This Year: News

CHINA PRESS
MNI (Sydney)

China's five-year Loan Prime Rate, a benchmark for residential mortgages, may rise this year if the property market continues to heat up, the Shanghai Securities News said citing Wang Qing, chief macro analyst of Golden Credit Rating. The one-year LPR for corporate loans is likely to remain stable with an interest rate of 3.85%, Wang said. The PBOC is likely keeping a cap on lenders' LPR quotes after having recently tightened banks' deposit rates and reduced competition for deposits, the newspaper said. On Monday, the central bank for the 11th month kept its published benchmark 1Y and 5Y LPRs, which are decided based on quotes submitted by lenders.

MNI Sydney Bureau | +61-405-322-399 | lachlan.colquhoun.ext@marketnews.com
MNI Sydney Bureau | +61-405-322-399 | lachlan.colquhoun.ext@marketnews.com

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