Rise in US dollar deposit rate

The People's Bank of China raised interest rates on US and Hong Kong dollar deposits from Wednesday in a move analysts say is a response to higher interest rates on the international market. The upper limit for one-year US dollar deposits rates was lifted to 3% from 2.5% and one-year Hong Kong dollar deposits increased 25 basis points to a ceiling of 2.625%. It is the fifth interest rate hike on key foreign currency deposits by China's central bank this year.