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WEDNESDAY, MAY 28, 2025
China's central bank conducts reverse repos to boost liquidity

China

Xinhua
10 January, 2023, 12:45 pm
Last modified: 10 January, 2023, 12:47 pm

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China's central bank conducts reverse repos to boost liquidity

Xinhua
10 January, 2023, 12:45 pm
Last modified: 10 January, 2023, 12:47 pm
A woman wearing a mask walks past the headquarters of the People's Bank of China, the central bank, in Beijing, China, as the country is hit by an outbreak of the new coronavirus, February 3, 2020/ Reuters
A woman wearing a mask walks past the headquarters of the People's Bank of China, the central bank, in Beijing, China, as the country is hit by an outbreak of the new coronavirus, February 3, 2020/ Reuters

China's central bank Tuesday conducted 2 billion yuan (about 295.81 million US dollars) of reverse repos to maintain liquidity in the banking system.

The interest rate for the seven-day reverse repos was set at 2 percent, according to the People's Bank of China.

The move is aimed at keeping liquidity stable in the banking system, the central bank said.

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A reverse repo is a process in which the central bank purchases securities from commercial banks through bidding, with an agreement to sell them back in the future. 

World+Biz / Global Economy

China / China Economy / China central bank

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