The interest rate was reduced, and the loan market quotation rate (LPR) was lowered in August< Br > < div class = "height" > < / div > the national interbank borrowing center authorized by the people’s Bank of China announced that on August 22, 2022, the quoted interest rate (LPR) of the loan market was: 1-year LPR was 3.65%, down 5 basis points, and 5-year LPR was 4.3%, down 15 basis points< img alt="" style="width:600px;" src=" https://imagecloud.thepaper.cn/thepaper/image/212/71/645.png "> the reduction of LPR is already in the expectation of the market. < br > < div class =" height "> < / div > during the medium-term loan facilitation operation in August, the MLF interest rate, which is the medium-term policy interest rate, was cut by 10 basis points more than expected. < br > < div class =" height "> < / div > subsequently, Premier Li Keqiang chaired the executive meeting of the State Council on August 18. The meeting pointed out that it is necessary to improve the formation and transmission mechanism of market-based interest rates and give play to the quoted interest rate (LPR) in the loan market The guiding role is to support the recovery of effective demand for credit and promote the reduction of comprehensive financing costs of enterprises and personal consumption credit costs< Br > < div class = "height" > < / div > as the benchmark for the pricing of housing loan interest rate, the reduction of LPR over 5 years is more intense. The institution believes that under the situation that the demand for medium and long-term loans needs to be boosted, reducing the long-term LPR interest rate will effectively reduce the financing cost of residents and enterprises and improve their willingness to leverage< Br > < div class = "height" > < / div > this is the third time LPR has been lowered this year. Cumulatively, since the beginning of this year, the 1-year LPR and 5-year LPR have decreased by 15 basis points and 35 basis points respectively< Br > < div class = "height" > < / div > before the opening of this LPR adjustment window, in January this year, the LPR of one-year period decreased by 10 basis points, and the LPR of more than five-year period decreased by 5 basis points; In May, LPR over 5-year period was reduced by 15 basis points< Br > < div class = "height" > < / div > the loan market quotation rate (LPR) is calculated by the national inter-bank lending center based on the quotation of each quotation bank by adding points to the open market operation rate (mainly refers to the medium-term lending convenience rate), which provides a pricing reference for bank loans. At present, LPR includes two varieties with 1-year period and 5-year period.