China's central bank announced on Friday night it will lower the interest rates on personal housing provident fund loans for first-time home buyers from October 1.

The interest rates on personal housing provident fund loans for first-time home buyers will be lowered by 0.15 percentage point, the People's Bank of China (PBOC) said in a statement.

After the cut, the interest rates for loans less than five years (including five years) and more than five years will be adjusted to 2.6 percent and 3.1 percent, respectively, the statement said.

For second-home buyers, the interest rate floor remains at 3.025 percent on loans less than five years (including five years) and 3.575 percent on loans more than five years, according to the statement.