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China's central bank skips reverse repos

Xinhua | Updated: 2020-07-24 15:54
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A bank staff counts RMB and US dollar notes in a bank in Nantong, Jiangsu province on Aug 6, 2019. [Photo/sipaphoto.com]

BEIJING - The People's Bank of China (PBOC), the country's central bank, skipped open market operations via reverse repos Friday.

The banking system reports reasonable and sufficient liquidity at present, the PBOC said in an online statement.

A total of 200 billion yuan ($28.6 billion) of reverse repos matured Friday.

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 will pursue a prudent monetary policy in a more flexible and appropriate way, according to this year's government work report.

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