China's central bank adds liquidity via reverse repos

BEIJING, Sept. 30 (Xinhua) -- China's central bank on Friday conducted a total of 186 billion yuan (about 26.2 billion U.S. dollars) of reverse repos to maintain liquidity in the banking system.

The amount included 128 billion yuan of seven-day reverse repos at an interest rate of 2 percent, and 58 billion yuan of 14-day reverse repos at an interest rate of 2.15 percent, according to the People's Bank of China.

The move aims to keep stable liquidity in the banking system at the end of the quarter, 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.