Zou Lan, director of the Monetary Policy Department of the People’s Bank of China, said at a press conference of the State Council Information Office today that the reduction in existing mortgage interest rates can ease residents’ interest burden and significantly enhance their spending power. The benefits of this policy adjustment are mid- to long-term, and can sustainably reduce expenditures for households that have taken loans with higher interest rates in recent years to support the improvement of residents’ spending power so as to effectively promote consumption growth. In the next step, PBOC will continue to pay close attention to market dynamics, maintain the order of market competition, and promote the smooth and orderly implementation of existing mortgage interest rate adjustments.

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