China’s Central Bank Adds Liquidity via Reverse Repos

Beijing, January 29 (QNA) – China’s central bank continued to inject funds into the financial system through open market operations on Sunday.

The People’s Bank of China said on its website that it has conducted 128 billion yuan (about 18.91 billion US dollars) of seven-day reverse repos at an interest rate of 2 percent, according to (Xinhua) news agency.

The move is aimed at keeping liquidity stable at the end of the month, the central bank said.

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. (QNA)