What does it mean for the World Bank to change LPR?

The conversion of pricing benchmarks of major banks has started. Some friends have received the LPR conversion notice from the bank, and they don't know much about LPR conversion. So, what does it mean to allow banks to convert to LPR?

What does it mean for the World Bank to change LPR?

Converting LPR refers to changing the pricing benchmark of loan interest rate from the original central bank loan benchmark interest rate to LPR. The English name of LPR is Loan Primate, and the Chinese name is Loan Primate, which is the loan interest rate executed by commercial banks for their high-quality customers, and is calculated by the quotations of 65,438+08 representative banks. The purpose of converting the pricing benchmark into LPR is to deepen the interest rate marketization reform and further promote the application of LPR in the loan market.

LPR can be found in the column of loan market quotation rate (LPR) on the right side of the official website of National Interbank Funding Center (www.shibor.org) or the official website of People's Bank of China (www.pbc.gov.cn). In addition, according to Announcement No.30 of the People's Bank of China [20 19], the borrower can convert the mortgage interest rate into LPR floating interest rate or fixed interest rate. The specific interest rate type can be selected according to the individual's actual situation.

The above is the answer that the bank wants to convert LPR. I hope it helps you.