Two of China's key short-term money rates climbed sharply on Wednesday as institutions hoarded cash to make upcoming tax payments due before month end.

The volume-weighted average price (VWAP)of the benchmark seven-day bond repurchase agreement hit 5.6768 percent, its highest level since June 28, a period when rates spiked during an unprecedented cash squeeze.

The VWAP of the overnight repo also rose to 5.2835 percent, its highest level since June, up from 4.5716 percent at close Tuesday.