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176.5 bln yuan of MLF to mature in coming week
Last Updated: 2018-09-03 11:12 | Xinhua
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A total of 176.5 billion yuan (about 25.8 billion U.S. dollars) of medium-term lending facility (MLF) with one-year maturity are set to mature in the coming week, data from information service provider Wind showed.

Wind data also showed no reverse repos will mature during Sept. 1 to Sept. 7 after the People's Bank of China has suspended the liquidity-boosting operations for eight consecutive trading days by Friday amid high liquidity in the banking system.

The MLF tool was introduced in 2014 to help commercial and policy banks maintain liquidity by allowing them to borrow from the central bank using securities as collateral, while a reverse repo is a process by which the central bank bids and buys securities from commercial banks, with an agreement to sell them back in the future.

The PBOC increasingly relies on open-market operations, rather than changes in interest rates or reserve requirement ratios, to manage liquidity in a more flexible and targeted manner.

China will maintain a prudent and neutral monetary policy in 2018 as it strives to balance growth and risk prevention.

(Editor:富博)

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176.5 bln yuan of MLF to mature in coming week
Source:Xinhua | 2018-09-03 11:12
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