China's central bank injects liquidity into market

Source:Xinhua Published: 2019/6/18 10:57:33

The People's Bank of China (PBC), the central bank, on Tuesday pumped liquidity into the financial system through open market operations.

The PBOC conducted 90 billion yuan (about 13 billion US dollars) of 14-day reverse repo, a liquidity-injecting process in which the central bank purchases securities from commercial banks through bidding, with an agreement to sell them back in the future.

The interest rate for the operation stood at 2.7 percent.

A total of 10 billion yuan of reverse repos matured on Tuesday, leading to a net liquidity injection of 80 billion yuan.

The move aimed to ensure stable liquidity in the middle of the year, the PBC said in a statement.

China vowed to keep its prudent monetary policy "neither too tight nor too loose" while maintaining market liquidity at a reasonably ample level in 2019.

Posted in: ECONOMY

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