PBoC launches swap facility in bid to boost stock market
Financial institutions will be able to swap eligible assets with sovereign bonds and central bank bills
China’s central bank has launched a promised 500 billion yuan ($70 billion) funding programme to aid the stock market, and has set up a new mechanism to boost its own government bond trades.
In a statement today (October 10), the People’s Bank of China (PBoC) said it would start accepting applications from financial institutions to access the facility. Eligible securities firms, funds and insurers will be able to use their assets – including bonds, exchange-traded funds and holdings in companies
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