China’s biggest banks raise deposit rates

Beijing: China’s top five banks said on Friday they have raised deposit rates to 3.5%, above the benchmark level, less than a day after China took a step towards liberalizing its interest rate market.

The websites of all five banks showed they were offering 3.5% deposit rates, higher than the benchmark 3.25% level.

Under China’s new banking rules that came into effect on Friday, banks can offer deposit rates of up to 110% of benchmark rates.

The five banks are Industrial and Commercial Bank of China, China Construction Bank, Bank of China, Agricultural Bank of China and Bank of Communications.

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