China kept its main loan interest rates unchanged on Tuesday, while the People's Bank of China (the central bank) announced its intention to launch a series of measures to enhance financial stability and develop money markets.
Xinhua reported that the one-year main loan interest rate remained stable at 3 percent, while the interest rate for loans exceeding five years, which lending institutions rely on to determine mortgage rates, stayed at 3.5 percent, according to the National Interbank Funding Center.
New Measures to Enhance Liquidity
In this context, Pan Gongsheng, governor of the People's Bank of China, announced during the opening of the 2026 Financial Street Forum annual conference in Beijing on Monday that the bank would work in cooperation with financial authorities to introduce a package of new measures.
The anticipated measures include creating a tool to support liquidity in the face of large-scale redemptions by non-bank institutions, expanding the scope of institutions eligible for permanent lending facilities, and strengthening the link between the interbank bond market and the stock exchange bond market.
Pilot Measures and Guidelines
On his part, pilot measures include facilitating the purchase and sale of yuan conducted by foreign financial institutions in the local foreign exchange market, issuing guidelines for financial support provided to scientific and technological innovation centers in Beijing, the Beijing-Tianjin-Hebei region, Shanghai, and the Yangtze River Delta, as well as the Greater Bay Area of Guangdong-Hong Kong-Macao.
The forum is held from October 19 to 22, under the theme "Building an Open, Cooperative, and Inclusive System for Global Financial Development," with participation from figures from more than 40 countries and regions.
Source: Syrian Arab News Agency (SANA)
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