Fashion
China’s central bank to inject $72.5 bn via one-year MLF operation
The People’s Bank of China (PBoC) is set to conduct a one-year medium-term lending facility (MLF) operation worth 500 billion yuan (~$72.52 billion) on Wednesday. The move is aimed at ensuring sufficient liquidity within the banking system.
The People’s Bank of China will conduct a 500-billion-yuan (~$72.52 billion) one-year MLF operation to support banking liquidity.
Conducted via variable-rate tenders, the move will offset 450 billion yuan in maturing funds, resulting in a net injection of 50 billion yuan (~$6.9 billion).
This marks the 13th consecutive month of net liquidity infusion by the central bank.
The operation will be carried out via variable-rate tenders with a fixed volume, using a multiple-price auction mechanism, said Chinese media reports quoting the central bank.
With 450-billion-yuan worth of MLF funds due to mature this month, the latest operation will result in a net liquidity injection of. This marks the 13th consecutive month in which the PBoC has added net liquidity through the facility.
The operation will result in a net liquidity injection of 50 billion yuan (~$6.9 billion), after accounting for 450 billion yuan in MLF funds maturing this month, extending the PBoC’s streak of net injections to 13 consecutive months.
Fibre2Fashion News Desk (SG)