China’s central bank conducts reverse repos Tuesday

BEIJING, Oct. 8 (Xinhua) — China’s central bank conducted 41.7 billion yuan (about 5.9 billion U.S. dollars) of seven-day reverse repos at an interest rate of 1.5 percent Tuesday.
The move aims to keep liquidity in the banking system reasonable and ample, the central bank said.
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. ■