PBOC keeps rate on medium term loans unchanged for 3rd straight month, analysts expect more normal policy in second half

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China’s central bank rolled over maturing medium-term loans while keeping borrowing costs unchanged for the third consecutive month, adding to signs that the authority is likely to implement more normal policy as the economy continues to recover.

The People’s Bank of China (PBOC) said it kept the interest rate on 400 billion yuan of one-year medium-term lending facility (MLF) loans to financial institutions unchanged at 2.95 per cent from the previous operation.

The MLF operation is a rollover of two batches of maturing MLF loans and a targeted TMLF . . .

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