China’s c. bank injects $2.8b into banking system

China’s central bank, the People’s Bank of China (PBC), announced on Monday that it has injected two billion yuan ($281.52 million) into the country’s banking system through reverse repurchase agreements, Xinhua reported.

This move, known as a reverse repo, involves the central bank purchasing securities from commercial banks through bidding with an agreement to resell them at a later date. The interest rate on this particular transaction was set at 1.8 per cent.