China c.bank injects 359.3b yuan via reverse repos

People’s Bank of China (PBC) injected on Thursday 359.3 billion yuan (around $50.44 billion) into the banking system through seven-day reverse repurchase operations (repos). The interest rate for these operations was set at 1.7 per cent.

The Chines central bank’s move aims to maintain a healthy level of liquidity in the banking system. A reverse repo involves PBC purchasing securities from commercial banks with the agreement to sell them back at a later date.

Attribution: Xinhua