China injects $29bn into banking system while holding rates flat

BEIJING -- The People's Bank of China kept its benchmark lending rates unchanged for a sixth straight month Monday, focusing on injecting liquidity to bolster an economy hampered by a sluggish real estate market.

The one-year and over-five-year prime rates, the latter of which is used as a reference for mortgages, were left at 3.65% and 4.3%, respectively. But the central bank added a net 199 billion yuan ($28.9 billion) into the financial system through its medium-term lending facility for commercial banks this month, a third straight month of net increases.