China's overnight interbank rate plunges Friday

China's overnight interbank offered rate took a dive on Friday after hitting a record-high 13.44 percent on Thursday, new official data show.

The Shanghai Interbank Offered Rate (SHIBOR) overnight rate, a basic gauge of interbank borrowing costs, plunged 495.2 base points to 8.49 percent on Friday, according to data from the National Interbank Funding Center.

The overnight rate had witnessed a rising trend since the beginning of this month on tight liquidity before hitting record-high 13.44 percent on Thursday.

The State Council, China's cabinet, said at a meeting on Wednesday that the government will maintain a prudent monetary policy with a reasonable scale of monetary aggregates.