China's central bank offers $31b liquidity for banks' medium-term loans

The PBOC said authorities won’t make 'sharp turns' in monetary policy.

The People’s Bank of China (PBOC) has offered $31b (CNY200b) of one-year liquidity with its medium-term lending facility to Chinese lenders, according to a statement. This has helped offset the loans that mature in February.

Also Read: Chinese financial institutions' 2021 outlook negative: Moody's

It also kept the interest rate on the funds unchanged at 2.95%.

The move reportedly adds to signs that the central bank is in no rush to repeal measures put in place to support the economy. In an earlier quarterly report, the PBOC said authorities won’t make “sharp turns” in monetary policy and downplayed its recent cash withdrawals.

The PBOC also offered $3.1b (CNY20 b) of seven-day reverse repurchase agreements. About $43b (CNY280b) of the instruments are due.

Here’s more from Bloomberg.