BEIJING, March 25 (Xinhua) -- China's central bank continued to skip open market operations Monday, citing abundant liquidity in the banking system.
As 60 billion yuan (about 8.94 billion U.S. dollars) of reverse repos matured on Monday, the People's Bank of China effectively drained the same amount of liquidity from the market.
The central bank has skipped reverse repos for four consecutive working days. A reverse repo is a process by which the central bank purchases securities from commercial banks through bidding, with an agreement to sell them back in the future.
China will keep prudent monetary policy "neither too tight nor too loose" while maintaining market liquidity at a reasonably ample level in 2019, according to the annual Central Economic Work Conference held last year.
As 60 billion yuan (about 8.94 billion U.S. dollars) of reverse repos matured on Monday, the People's Bank of China effectively drained the same amount of liquidity from the market.
The central bank has skipped reverse repos for four consecutive working days. A reverse repo is a process by which the central bank purchases securities from commercial banks through bidding, with an agreement to sell them back in the future.
China will keep prudent monetary policy "neither too tight nor too loose" while maintaining market liquidity at a reasonably ample level in 2019, according to the annual Central Economic Work Conference held last year.
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