China's Low-Interest Rates Fuel Interbank Borrowing Surge

China's current low-interest rate environment is leading to a significant increase in interbank borrowing. Bloomberg posted on X, highlighting that financial institutions are taking advantage of the favorable rates to boost their lending activities. This trend is contributing to a rise in liquidity within the banking sector, as banks seek to optimize their financial strategies amid the prevailing economic conditions. The surge in interbank borrowing is seen as a response to the People's Bank of China's monetary policy, which aims to stimulate economic growth by maintaining low borrowing costs source: https://www.binance.com/en/square/post/289710451556802?utm_source=BinanceNewsRSS