The central bank will conduct 800 billion yuan in outright reverse repurchase operations on November 17.

    The central bank continued to inject medium-to-long-term funds into the market through outright reverse repurchase agreements in November.

    On November 14, the People's Bank of China announced a tender for outright reverse repurchase agreements in the open market. To maintain ample liquidity in the banking system, it will conduct 800 billion yuan worth of outright reverse repurchase operations on November 17, 2025, using a fixed quantity, fixed rate tender, and multiple-price award method. The term will be 6 months (182 days).

    This will mark the central bank's second repurchase agreement operation this month. On November 5, the central bank conducted 700 billion yuan in repurchase agreements using a fixed amount, interest rate bidding, and multiple price allocation method, with a maturity of 3 months (91 days). Combined, the two operations total 1.5 trillion yuan in repurchase agreements.

    　Considering that 700 billion yuan in 3-month buyout reverse repos and 300 billion yuan in 6-month buyout reverse repos matured this month, the central bank injected a net 500 billion yuan through buyout reverse repos in November. Additionally, 900 billion yuan in Medium-term Lending Facility (MLF) operations will mature this month.

    Since the beginning of this year, the central bank has primarily supplied medium-to-long-term liquidity through buyout reverse repos and MLF operations. Furthermore, after suspending them at the start of the year, the central bank resumed open market government bond trading operations in October.

    In its “China Monetary Policy Implementation Report for the Third Quarter of 2025,” the central bank stated that it will maintain ample liquidity to ensure that the growth of social financing and money supply aligns with economic growth and overall price level expectations, thereby sustaining a suitable monetary and financial environment.

    To maintain reasonable and ample liquidity in the banking system and further enrich the central bank's monetary policy toolkit, the PBoC launched the outright reverse repurchase operation tool in October 2024. The operation targets primary dealers in the open market, with transactions conducted once a month in principle and a maturity not exceeding one year.