China Maintains Key Loan Rates

China has decided to keep its benchmark lending rates unchanged in June 2026, with the one-year loan rate remaining at 3% and the rate for loans over five years at 3.5%, as part of its accommodative monetary policy. Nevertheless, yuan-denominated loans increased by 10.72 trillion yuan in the first half of the year, with the total loan balance surpassing 282.63 trillion yuan, representing an annual growth of 5.2%. The total financing outstanding reached 462.06 trillion yuan, up 7.4% year-on-year, to support the Chinese economy amid continued accommodative financial policies throughout 2026.

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