(Reuters) – Chinese banks are set to cut rates on 300 trillion yuan ($42.20 trillion) of deposits as soon as this week, Bloomberg News reported on Tuesday, citing people familiar with the matter.
Major banks including Industrial & Commercial Bank of China and China Construction Bank Corp will be guided by the central bank’s interest rate self-disciplinary mechanism to lower the rates on a number of deposit products, the report said.
Rates on one-year time deposits may drop by at least 20 basis points, while those on longer tenors may come down at least 25 basis points, the report added.
($1 = 7.1091 Chinese yuan renminbi)
(Reporting by Harshita Meenaktshi in Bengaluru; Editing by Sonali Paul)
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