BEIJING (Reuters) - China will adjust deposit rates for its housing provident fund to ensure reasonable gains for depositors, the central bank said on Wednesday.
With effect from Feb. 21, the central bank will use the one-year deposit rate of 1.5 percent to replace the lower rates for deposits of less than one year, the People’s Bank of China said in a statement on its website.
The housing provident fund is a government-designed saving plan that allows Chinese workers and their employers pay a part of their monthly wages into the fund to finance future home purchases.
Reporting by China monitoring team, Xiaoyi Shao and Ryan Woo; Editing by Clarence Fernandez
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