BEIJING, April 30 (Xinhua) -- China's central bank has suspended pumping cash into the monetary market for five consecutive work days.
The People's Bank of China (PBOC) on Tuesday announced the decision to skip reverse repos in a statement as interbank liquidity was at a relatively high level due to stronger fiscal spending at the end of the month.
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. There are no reverse repos due this week.
China's monetary policy should be "neither too loose nor too tight," while liquidity will be kept at a reasonable and ample level, according to a statement issued after a quarterly meeting of the monetary policy committee of the PBOC earlier this month.
