USEUROPEAFRICAASIA 中文双语Français
Business
Home / Business / Finance

PBOC urges banks to strengthen liquidity management

By WU YIYAO in Shanghai | chinadaily.com.cn | Updated: 2013-06-24 16:11

The People’s Bank of China released a circular on Monday morning requiring banks to strengthen management over liquidity.

The circular said commercial banks must pay close attention to the liquidity situation in the market.

The circular was dated June 17, but was released on Monday. It came after a liquidity crunch when the cost of benchmark short-term funding climbed to all-time high on June 20.

Commercial banks must take various factors into consideration, set margins in advance and keep sufficient reserves, the circular said.

Overall liquidity in the financial system is at a reasonable level, it said.

Interest rates for short-term funds in China hit high levels last week while the money crunch pushed up interbank lending rates.

 

Most Viewed in 24 Hours
BACK TO THE TOP
Copyright 1995 - . All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to China Daily Information Co (CDIC). Without written authorization from CDIC, such content shall not be republished or used in any form. Note: Browsers with 1024*768 or higher resolution are suggested for this site.
License for publishing multimedia online 0108263

Registration Number: 130349
FOLLOW US