China to conduct $154.8-bn outright reverse repo operation on Oct 9

The operation will be carried out with fixed volumes through interest-rate bidding, with winning bids determined at multiple price levels. It will have a tenor of 91 days, the People's Bank of China (PBOC) said.

As 800 billion yuan of three-month outright reverse repos are set to mature in October, the October 9 operation will result in an increase of 300 billion yuan in outstanding three-month outright reverse repos for the month, a state-controlled news outlet reported.

Outright reverse repo operations—a tool the central bank introduced in October 2024 to manage liquidity in the national banking system—are carried out once each month with a tenor of no more than a year.

ALCHEMPro News Desk (DS)