BEIJING, April 29 (Xinhua) -- China's central bank has suspended pumping cash into the monetary market for four consecutive work days.
The People's Bank of China on Monday announced the decision to skip reverse repos in a statement as interbank liquidity was at a relatively high level due to stronger fiscal spending at the end of the month.
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. There will be no reverse repo due this week.
Banks saw dropping short-term borrowing costs on Monday. The overnight Shanghai Interbank Offered Rate went down 37 basis points to 1.7 percent.