China raises interest rates to reign in tumbling Yuan
SHANGHAI, Feb 3 (Reuters) – China’s central bank raised lending rates on its standing lending facility (SLF) loans on Friday, two banking sources said.
Sources also said the adjustment to interest rates was effective from February 3.
Earlier on Friday, People’s Bank of China raised the interest rate on open marekt operations by 10 basis points.
The moves will reinforce views that China’s central bank is moving to a tightening policy bias, but analysts expect its policy lending and deposit rates to remain unchanged for now, and say any further steps are likely to be gradual.
PBOC raised its medium-term lending facility (MLF) loans in late January.