(Yicai Global) July 17 -- China's central bank, the People's Bank of China, infused fresh funds into the financial system today via a seven-day reverse repurchase .

The PBOC conducted the reverse repo of CNY200 billion (USD28.57 billion), with no previous reverse repos maturing today. The bid rate was 2.20 percent, unchanged from the previous open market operation.

The action was to keep the liquidity "reasonably ample" in the banking system, the regulator said in a statement announcing the action.

Reverse repo agreements are primary tools financial institutions and banks use to provide temporary lending facilities to fund ongoing operations, where a buyer undertakes to temporarily buy a basket of securities for a fixed period and to sell them back at a slightly higher price.

Editor: Ben Armour