Multiple Banks Raise U.S. Dollar Deposit Rates, Some Surpassing the Fed's Benchmark
After the Federal Reserve resumed rate hikes in September 2026, maintaining its target range at 3.75%-4%, several domestic banks raised their U.S. dollar deposit rates, with some exceeding the Fed's benchmark. The Bank of Communications' Shenzhen branch offers a 12-month fixed-rate dollar deposit at 4.2%, while Bank of China's 3-year deposit, with a minimum of $100,000, yields up to 4.09%.
Several banks have raised their U.S. dollar deposit rates, with some exceeding the Federal Reserve's benchmark.
After the Federal Reserve resumed interest rate hikes in September 2026, maintaining its target rate range at 3.75% to 4%, several domestic banks increased their U.S. dollar deposit rates, with some now surpassing the Fed's benchmark.
The 12-month U.S. dollar fixed deposit rate at the Shenzhen branch of China Construction Bank reached 4.2%, up from 3.9% in September. Bank of China offers a rate of up to 4.09% for a 3-year term with a minimum deposit of $100,000. Industry insiders believe this move will help retain domestic U.S. dollar funds and alleviate pressure from the outflow of foreign currency deposits.
Sina Finance
https://finance.sina.com.cn/roll/2026-11-10/doc-iniyfzhx2584501.shtml