By Gokhan Ergocun
ISTANBUL (AA) - The People’s Bank of China has lowered its policy interest rate by 25 basis points to 3.1%, according to an official statement on Monday.
Meanwhile, the market expectation was 3.15% for the one-year loan prime rate for the bank's Monday meeting.
The bank lowered the rate from 3.45% to 3.35% in July and kept it constant during the last two meetings.
The bank also decreased the five-year loan prime rate by 25 basis points to 3.6%.
The rate decision is expected to revive the real estate and credit market against the contraction in the real estate sector and ease the burden on individuals and businesses.
The third-quarter growth figures announced last week in China revealed that the Chinese economy fell short of the government's growth target for this year in the first three quarters.
China’s economy expanded by 4.6% in the third quarter of 2024 compared to the same period last year.