BEIJING, June 8 (Xinhua) -- China's central bank injected 60 billion yuan (8.84 billion U.S. dollars) into the financial system via open market operations Thursday to maintain stable liquidity.
The People's Bank of China (PBOC) pumped a net 150 billion yuan in cash into the market through reverse repos, offset by 90 billion yuan in maturing reverse repos.
The operations included 30 billion yuan of seven-day reverse repos to yield 2.45 percent, and 50 billion yuan of 14-day reverse repos to yield 2.6 percent, and 70 billion yuan of 28-day contracts to yield 2.75 percent, according to a central bank statement.
The central bank Tuesday pumped 498 billion yuan into the financial system via its medium-term lending facility in an attempt to ease a seasonal liquidity strain. On Wednesday, the Ministry of Finance sold 80 billion yuan worth of treasury bonds on offer in the secondary bond market.
Deng Haiqing, chief economist with JZ Securities, said the moves aimed to ease the relatively tight liquidity in the middle of the year, and show the effects of regulatory coordination.
China has set the tone of its monetary policy in 2017 as prudent and neutral, keeping an appropriate liquidity level but avoiding excessive liquidity injections.
