People's Bank of China to Conduct 7000 Billion Yuan Reverse Repo Operation

The central bank will execute a 3-month (91-day) buy-back reverse repurchase operation on August 8, 2025, using fixed quantity, interest rate bidding, and multiple price bidding methods to maintain liquidity.

Summary

According to PANews on August 7, the People's Bank of China's Open Market Operations Office announced a 700 billion yuan buy-back reverse repurchase operation to be conducted on August 8, 2025. The 3-month (91-day) operation, employing fixed quantity, interest rate bidding, and multiple price bidding methods, aims to maintain ample liquidity in the banking system.

Terms & Concepts
  • reverse repo: A short-term central bank operation where securities are sold with an agreement to repurchase them later, used to manage liquidity in the banking system.