China’s central bank injects liquidity into market | Premium Times Nigeria

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China’s central bank injects liquidity into market

As 140 billion yuan of reverse repos and 200 billion yuan of Medium-term Lending Facility matured Thursday, the operation led to a net withdrawal of 230 billion yuan from the market.

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. China pursues a prudent monetary policy in a more flexible and appropriate way, according to this year’s government work report.

 

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