May 10, 2015 – Central Bank of China said it has reduced interest rates by 21 basis points to 5.1 percent as part of measures to boost economic development.
China Drops Interest Rate to 1.5 Percent
This is the second time China’s central bank has cut interest rates this year, amid a continuing economic slowdown.
The interest rate reduction is the third in six months and will take effect from Monday.
The central bank admitted in a statement that China’s economy is still facing relatively big downward pressure.
Advertisement
“At the same time, the overall level of domestic prices remains low, and real interest rates interest rates relative to inflation are still higher than the historical average,” the bank said.
Leave a comment
