Shanghai Interbank Association issues the self-discipline Convention on the Credit Market: giving full play to the guiding role of LPR in the loan interest rate, not using the interest rate as a single means to attract customers

[Shanghai Interbank Association issues "self-discipline Convention" on Credit Market: giving full play to the guiding role of LPR on loan interest rate and not using interest rate as a single means to attract customers)-- A reporter from the Financial Associated Press learned that under the guidance of the Shanghai Banking and Insurance Supervision Bureau, the Shanghai Banking Association recently formulated and issued the "Shanghai Banking Industry self-discipline Convention on creating a Sustainable Credit Market Environment." The self-discipline Convention emphasizes that member units should give full play to the guiding role of LPR on loan interest rates and reasonably determine the pricing level of interest rates according to the changes in the interest rate market and the strategic positioning of the bank. Interest rates should not be used as a single means to attract customers, strike a balance between the social responsibility of banking institutions and business sustainability, and maintain the bottom line that systemic risks do not occur. In addition, the self-discipline Convention also points out that member units should increase the amount of loans in line with the national industrial development orientation and support Shanghai's key development industries. (Xu Chuan, reporter of the Financial Associated Press)