The People’s Bank of China added 300 billion yuan (US$44 billion) through the medium-term lending facility at 3.25 percent, according to a statement from the central bank. It also injected 100 billion yuan via open market operations after a 15-day hiatus, selling 14-day reverse repurchase agreements at 2.65 percent. Some 257.5 billion yuan worth of targeted medium-term loans will come due on January 23. Analysts estimate a 3.8 trillion yuan liquidity gap may need offsetting in January as Chinese companies and individuals withdraw cash ahead of the week-long holiday. He added he expects the central bank to cut RRR by another 150 basis points this year.

Source: The Standard January 15, 2020 03:11 UTC