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Economic Buzz: China keeps loan prime rates unchanged for 10th straight month
20-Mar-2026 08:31
China kept its benchmark lending rates unchanged in March, marking the 10th straight month without a change and aligning with market expectations. The one-year loan prime rate (LPR) remains at 3.0%, while the five-year LPR stays at 3.5%.

The decision by the People's Bank of China comes amid rising global oil prices linked to tensions in the Middle East, which could impact inflation. A slightly lower economic growth target of 4.5% to 5% for 2026, set by Chinese government, has also reduced the urgency for additional stimulus measures.

Recent data showed some improvement in China's economy, with stronger factory output and a pickup in retail sales and investment early in the year.

Globally, major central banks'including the US Federal Reserve, Bank of Canada, Bank of England, and European Central Bank'also kept interest rates unchanged this week, while signaling readiness to act if inflation rises further due to geopolitical risks.

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