China's central bank adjusts liquidity operations to meet strong bond demand

Reported about 1 year ago

China's central bank announced adjustments to its open market operations to enhance efficiency and maintain ample liquidity in the banking system due to high demand for bonds. The move is seen as a step towards establishing a new interest rate corridor, with the seven-day reverse repo rate as a central guide. The temporary repos and reverse repos will have varying interest rates based on market conditions and are expected to provide the central bank with more flexibility in managing cash conditions and interest rates.

Source: YAHOO

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