Large and Medium Banks Complete First Round of Deposit Rate Cuts This Year

The one-year deposit rate was cut for the first time in a year, with more significant reductions in long-term rates.

All 12 national joint-stock banks completed this round of deposit rate cuts.

The reduction in long-term deposit rates was more substantial, with two-year, three-year, and five-year fixed deposit rates generally cut by 0.2 percentage points. Ping An Bank reduced its two-year fixed deposit rate by 0.3%.

Many institutions noted that this round of deposit rate cuts would fully offset the impact of LPR reductions on bank interest margins and revenues.