China's PBOC reduces MLF loan collateral requirement from 22 July, easing bond market supply and demand.
China's central bank, PBOC, will reduce collateral requirement for MLF loans from July 22, aiding in increasing tradable bonds and easing bond market supply and demand pressures. The MLF, introduced in 2014, supports commercial and policy banks in maintaining liquidity using securities as collateral. Institutions participating in MLF operations, selling medium to long-term bonds, can apply for lower or exempted collateral requirements for a period.
July 22, 2024
5 Articles