Beijing, 26 June 2026 – China’s central bank is moving closer to a more market-guided interest-rate framework as investors expect the People’s Bank of China to set a new overnight operation rate near 1.35%, marking another step in the reform of its monetary policy toolkit.
The PBOC is set to introduce overnight reverse repo operations on 29 and 30 June, a move aimed at improving control over short-term liquidity and guiding funding costs more precisely during periods of seasonal demand.
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