Langzhong Rongxing Rural Bank implements rare deposit rate inversion

Langzhong Rongxing Rural Bank in Sichuan has implemented a rare interest rate inversion for its fixed deposit products. Starting August 25, 2026, the bank's 1-year fixed deposit rate is set at 1.4%, which is higher than its 2-year, 3-year, and 5-year rates, all of which have been lowered to 1.35%.

This adjustment breaks the traditional banking convention where longer deposit terms typically yield higher returns. Under this new structure, depositors will receive a higher annualized return for a shorter 1-year term compared to longer-term commitments.