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China’s central bank to conduct $85-bn outright reverse repo operation
The operation will be carried out with a fixed quantity through interest-rate bidding, with winning bids determined at multiple price levels. It will have a tenor of six months, or 182 days.
The People’s Bank of China will conduct a 600-billion-yuan (~$85 billion) outright reverse repo operation today to maintain ample liquidity in the banking system.
The operation will be carried out with a fixed quantity through interest-rate bidding, with winning bids determined at multiple price levels.
It will have a tenor of six months, or 182 days.
This move represents a net injection of liquidity, as 400 billion yuan of similar six-month outright reverse repos are set to mature in December.
This marks the seventh consecutive month that the PBOC has expanded its outright reverse repo operations, according to a state-controlled media outlet.
Outright reverse repo operations, introduced in October 2024, are carried out each month with a tenor of no more than a year.
Fibre2Fashion News Desk (DS)