PBoC expected to remain on hold this week – UOB

According to Lee Sue Ann, Economist at UOB Group, the PBoC is forecast to keep the policy rate unchanged later this week.

Key Quotes

“With private consumption continuing to lag, the PBoC is likely to refrain from broad-based monetary policy tightening even as credit growth will continue to slow.”

“We maintain our forecast for the benchmark 1Y LPR at 3.85% for the rest of 2021.”