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China's central bank skips open market operations for 24 days

Xinhua | Updated: 2018-11-28 15:19
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It is the 24th consecutive working day for the central bank to skip open market operations, a record since early 2016. [Photo/IC]

BEIJING - The People's Bank of China suspended open market operations on Wednesday, citing increased liquidity due to more expenditure at the end of the month.   

It is the 24th consecutive working day for the central bank to skip open market operations, a record since early 2016 when the bank announced increased frequency of open market operations.

No reverse repos will mature this week. 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.

The central bank will maintain a prudent and neutral monetary policy, easing or tightening only as appropriate, and make the financial sector better serve the real economy, according to a report published by the bank in early November.

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