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China's central bank skips reverse repos on Tuesday

Xinhua | Updated: 2019-11-26 13:21
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Headquarters of the People's Bank of China, the central bank, is pictured in Beijing, Oct 8, 2018. [Photo/IC]

BEIJING - The People's Bank of China (PBOC), the country's central bank, continued to skip reverse repos on Tuesday, citing sufficient liquidity in the banking system.

The banking system reports a reasonable and sufficient level of liquidity at present, the PBOC said in a statement.

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.

China will keep its prudent monetary policy "neither too tight nor too loose" while maintaining market liquidity at a reasonably ample level in 2019.

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