Beijing: China announced on Thursday to cut interest rates to remove the impact on the economy due to corona virus infection. The People’s Bank of China said in a statement that the main interest rate (LPR) of the loan is being cut, so that companies can get relief in recovering from this disaster.
According to the statement, the LPR has been reduced from 4.15 percent to 4.05 percent for a one-year maturity period. Similarly, for loans with maturity of five years, LPR has been reduced from 4.80 percent to 4.75 percent.
The People’s Bank of China evaluates LPR on the 20th of every month. China’s central bank has cut LPR at a time when the death toll from corona virus infection has crossed 2,100. The number of people infected has also increased to more than 74,500. There are speculations that the corona virus infection is going to affect China as well as the entire global economy.
