LPR (Loan Prime Rate) is calculated and published based on the best loan rate quoted by selected commercial banks as the reference for loan market. Currently, the LPR publishes 1-year maturity.

The price quotation group of LPR consists of 10 commercial banks. The panel banks should meet the requirements of financial restricted conditions and macro prudential policy framework, have high systematically important, foundation impact in the market, and stronger comprehensive strength, established well internal yield curve and FTP mechanism, have stronger ability of independent pricing, established regulations on managing LPR. Self-regulatory Mechanism of Market Interest Rate Pricing decides and adjusts the panel banks, supervises and administrates the LPR operation, and regulates the behavior of the quoting banks and the specific publisher in accordance with Code of conduct.

National Interbank Funding Center is authorized to calculate and publish LPR. At 11:30AM (Beijing Time) each business day, LPR average rate will be published after weighted averaging all the quotations of the 9 banks, with the highest and lowest quotations excluded.