China’s central bank said on Wednesday it injected 140 billion yuan ($21.8 billion) into the interbank money market via short-term liquidity operations (SLOs).
The loans, which mature in six days, have an average interest rate of 2.3 percent, the People’s Bank of China (PBOC) said in a statement on its website.
The PBOC launched SLOs in 2013 to supplement its other monetary policy tools. The facility is mainly used to provide one- to three-day direct lines of credit to commercial banks, though loans with other maturities are occasionally used.
($1 = 6.4182 Chinese yuan)