The People’s Bank of China kept its key lending rates at record lows for the 17th straight month in October 2026, even as the yuan continued to strengthen amid strong economic data that met expectations. The economy grew 4.5% in Q3, exceeding expectations and reducing the urgency to step up support to meet its annual growth target. The one-year loan prime rate (LPR), the benchmark for most corporate and household borrowing, was left at 3.0%, while the five-year LPR, a reference rate for mortgages, remained at 3.5%. On Monday, PBOC Governor Pan Gongsheng said the central bank would advance reforms to pricing benchmarks, shifting lending away from a relatively narrow reliance on the LPR toward a more diversified set of benchmarks. According to analysts, the PBOC is considering switching its main policy rate to the overnight reverse repurchase rate in a move aimed at improving monetary policy transmission to support the economy.