China central bank makes biggest weekly net cash injection since Jan 2020

SHANGHAI (Reuters) – China’s central bank made the biggest weekly liquidity injection on a net basis through short-term bond instruments in more than 32 months, to counteract higher cash demand at the quarter-end.

The People’s Bank of China (PBOC) injected 186 billion yuan ($26.13 billion) via open market operations on Friday, including 128 billion yuan in seven-day reverse repos and another 58 billion yuan through 14-day tenor.

The move resulted in a net injection of 868 billion yuan of offerings for the week, booking the biggest weekly net fund injection since January 2020.

($1 = 7.1196 Chinese yuan)

(Reporting by Winni Zhou and Brenda Goh; Editing by Jacqueline Wong)