Benchmark interest rate is likely to remain unchanged

China is likely to leave its benchmark interest rate unchanged in the near future amid reasonable inflation rises and a stable yuan, even with the higher likelihood of a United States Federal Reserve interest rate rise next month, according to analysts.

The possible uptick in the Chinese rate would not take place until the third quarter, if at all, and would likely be lower than that of the US Fed, they said.

"The current proper inflation growth - one of the most decisive indicators for monetary maneuvers - provides no incentive for the People's Bank of China to take any steps," said Zhang Bin, a senior researcher at the Chinese Academy of Social Sciences. "The government intends to keep its monetary policy independent. That means monetary policy adjustments will mainly be based on domestic economic circumstances."