Sino-Singapore Jingwei, December 20th, December LPR quotations remained stable, 1-year LPR was 3.65%, and 5-year-old LPR was 4.3%.
The central bank announced on the 20th that the People's Bank of China authorized the National Interbank Funding Center to announce that the loan market quotation rate (LPR) on December 20, 2022 is: 1-year LPR is 3.65%, and LPR for more than 5 years is 4.3%.
The above LPR is valid until the next LPR release.
Screenshot of the central bank website
After being cut in August, the LPR has remained unchanged for four consecutive months.
During this quotation cycle, the central bank lowered the deposit reserve ratio of financial institutions by 0.25 percentage points on December 5, releasing a total of about 500 billion yuan of long-term funds. The MLF interest rate on the basis of LPR quotations has not changed this month.
Wang Qing, Chief Macro Analyst of Dongfang Jincheng, believes that since September, commercial banks have launched a new round of deposit rate cuts, and the implementation of the RRR cut in December will also reduce the cost of funds for financial institutions by about 5.6 billion yuan per year, which is expected to offset the recent rise in market interest rates Influenced by it, the quotation line will increase the power to lower the LPR quotation and add points.
It is judged that the regulator will guide the quotation banks to lower the 5-year LPR in the near future, which may be implemented as early as the 20th of this month, and the possibility of lowering the 5-year LPR by January 2023 is not ruled out.
Wang Hao, a senior macro analyst, believes that there is a high probability that LPR will remain stable in the short term.
The adjustment of the policy interest rate in the next stage will mainly be determined according to the implementation effect of the next package of growth stabilization measures.
(Sino-Singapore Jingwei APP)