The People's Bank of China will periodically adjust the rediscount rate on discounted bills, the official China Securities Journal said on Thursday, citing sources. The rediscount rate, at which the central bank lends to banks through discounted bills, has been fixed at 3.24% since March 2004. No time frame was given. Further moves to liberalize interest rates would include adjusting benchmark lending rates and freeing up deposit rates for large sums, sources told the journal. The central bank also planned to launch interest rate derivatives, improve the pricing mechanism for interest rates on bills to better reflect credit risks in the market, and help commercial lenders and rural credit cooperatives in their abilities to price risk.