BEIJING — China's one-year loan prime rate (LPR), a market-based benchmark lending rate, came in at 3.85 percent on Feb 20, unchanged from the previous month.

The over-five-year LPR, on which many lenders base their mortgage rates, also remained unchanged from the previous reading of 4.65 percent, according to the National Interbank Funding Center (NIFC).

The lending rates have remained steady for 10 consecutive months, matching market expectations, analysts said.

On Feb 18, the People's Bank of China (PBOC), or the central bank, injected a total of 200 billion yuan (about $31 billion) into the market via a one-year medium-term lending facility (MLF). The interest rate remained unchanged from the previous injection, at 2.95 percent.

The central bank has reiterated that it will prioritize stability in its monetary policy and avoid making sudden shifts.

According to the PBOC's 2020 Q4 monetary policy report, the prudent monetary policy will be more flexible, precise, reasonable and moderate and will strike a balance between economic recovery and risk prevention.

While maintaining liquidity at a reasonably ample level, the central bank will also provide more financial support to technological innovation, small and micro-sized businesses and green development, according to the report.

Based on bank quotes calculated by adding a few basis points to the interest rate of open market operations (mainly referring to the medium-term lending facility rate), the LPR is calculated by the NIFC to serve as a pricing reference for bank lending. The LPR currently consists of rates with two maturities — one year and over five years.

The quoting banks submit their figures before 9 am on the 20th day of every month. The NIFC calculates and releases the LPR at 9:30 am on the same day or on the next working day.