The People's Bank of China issued an announcement on July 24 stating that in order to better match the short-term liquidity needs of the banking system, the People's Bank of China will carry out overnight reverse repurchase operations from July 29 to July 31 and August 3, using fixed interest rates and volume tenders. From July 29 to July 31, 600 billion yuan was launched daily, and on August 3, 300 billion yuan was launched. Wang Qing, chief macro analyst at Dongfang Jincheng, said that the People's Bank of China announced that it will launch 4 overnight reverse repurchase operations with the aim of leveraging the regulating effect of overnight reverse repurchases on ultra-short-term liquidity to better match the short-term liquidity needs of financial institutions at the end of the month. At the end of June, the central bank added a variety of overnight reverse repurchase operations to open market operations, with the aim of further improving the interest rate regulation mechanism, enriching the variety of instrument periods, and operating 300 billion yuan and 600 billion yuan respectively on June 29 and 30. According to reports, overnight reverse repurchase operations can play the role of “cutting peaks and filling valleys” at some special points, and carrying out overnight reverse repurchase operations can improve liquidity management efficiency and reduce financial institution costs.

The People's Bank of China issued an announcement on July 24 stating that in order to better match the short-term liquidity needs of the banking system, the People's Bank of China will carry out overnight reverse repurchase operations from July 29 to July 31 and August 3, using fixed interest rates and volume tenders. From July 29 to July 31, 600 billion yuan was launched daily, and on August 3, 300 billion yuan was launched. Wang Qing, chief macro analyst at Dongfang Jincheng, said that the People's Bank of China announced that it will launch 4 overnight reverse repurchase operations with the aim of leveraging the regulating effect of overnight reverse repurchases on ultra-short-term liquidity to better match the short-term liquidity needs of financial institutions at the end of the month. At the end of June, the central bank added a variety of overnight reverse repurchase operations to open market operations, with the aim of further improving the interest rate regulation mechanism, enriching the variety of instrument periods, and operating 300 billion yuan and 600 billion yuan respectively on June 29 and 30. According to reports, overnight reverse repurchase operations can play the role of “cutting peaks and filling valleys” at some special points, and carrying out overnight reverse repurchase operations can improve liquidity management efficiency and reduce financial institution costs.