LPR is downregulated. First, let’s clarify what LPR is. Simply put, it is the abbreviation for the financial institution to reduce the loan points on the basis of regular loans for specific high-quality customers (credit, past behavior, etc.).

What are the implications of this? What impact can it have on people's lives?

1: The monthly payment can be lower. For example, the most intuitive example of this LPR reduction is that the loan interest rate for home buyers has dropped. A loan of 1 million yuan can save about 30 yuan per month. Although it is not much, it does reduce the repayment pressure overall. .

2: Reduce unemployment. Reducing repayment pressure, this part of the funds will naturally flow to retail consumption, promoting the development of the entire economy and entering a virtuous cycle. Employees in various industries will repay less and have more consumption power, and the circulation in your industry will be stronger. , your work will be smoother, your salary may increase, your job will be stable, and unemployment will be reduced.

3: Enterprises have little pressure. The loan limits of enterprises are relatively large, especially real estate enterprises, which have a large reduction in funds. Therefore, for some enterprises, this measure reduces the financial pressure of enterprises and also ensures the stability of industry practitioners.

4: It’s more affordable for us to buy big things. The pressure on real estate is less, and the pressure on us to repay the loan to buy a house has also become less, after all, the interest rate has dropped.

Summary: The central bank lowers the LPR, which means lowering the inter-bank lending rate. Lowering the inter-bank lending rate will directly affect the bank's cost, that is, the bank's capital cost will be lower, which will further increase the price of the loan. It will be lowered. Generally speaking, it will reduce the cost of loan households, thereby bringing growth to the entire economy. In other words, the cost reduction of enterprises is a major factor. So for ordinary people, the cost of enterprises will be reduced. It can enhance the competitiveness of enterprises, promote corporate sales, and also add favorable factors to the employment stability of corporate employees. In addition, the cost of personal borrowings, mortgage loans and personal consumer credit will be reduced, which is conducive to promoting consumption and economic development. .