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China's central bank injects liquidity into market

Source: Xinhua| 2019-02-22 10:27:01|Editor: ZX
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BEIJING, Feb. 22 (Xinhua) -- China's central bank injected liquidity into the money market through reverse repos Friday.

The People's Bank of China conducted 40 billion yuan (about 5.96 billion U.S. dollars) of seven-day reverse repos at an interest rate of 2.55 percent.

With no reverse repos due this week, the central bank has effectively pumped 60 billion yuan into the market for the whole week.

Reverse repos enable the central bank to purchase securities from commercial banks through bidding with an agreement to sell them back in the future.

The operation is aimed at maintaining reasonable and sufficient liquidity in the banking system.

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