Raising the loan interest rate can prevent the economic growth from overheating. Since 2002, China's economy has accelerated. Raising the benchmark loan interest rate will reduce the money supply, thus reducing investment and consumption, and ultimately reducing the total output, which is conducive to avoiding accelerating growth and becoming overheated economy.
The deposit interest rate is the ratio of interest amount to deposit amount in a certain period. Also known as deposit interest rate. Is the standard for calculating deposit interest. There are annual interest rate, monthly interest rate and daily interest rate (also called annual interest rate, monthly interest rate and daily interest rate). The annual interest rate is expressed as a percentage of the principal, and the monthly interest rate is expressed as a percentage of the principal; The daily interest rate is expressed as a few ten thousandths of the principal. Our country is used to calling interest rates cents.
The deposit interest rate is an economic lever for banks to absorb deposits, and it is also an important factor affecting the cost of banks. China's deposit interest rate is determined by the state according to objective economic conditions, currency circulation, supply and demand of market materials and taking into account the interests of all parties.
Reference link: Baidu Encyclopedia _ deposit interest rate