BEIJING — China’s central bank drained 160 billion yuan (about $23.33 billion) from the financial system on Jan 4, with more reverse repos maturing than conducted.

The People’s Bank of China (PBOC) injected 10 billion yuan into the market through seven-day reverse repos at an interest rate of 2.55 percent, with 170 billion yuan of reverse repos maturing, leading to a net withdrawal of 160 billion yuan.

Specifically, 150 billion yuan of seven-day reverse repos and 20 billion yuan of 14-day reverse repos matured on Jan 4.

On Jan 3, the central bank conducted 60 billion yuan of reverse repos, while 150 billion yuan of reverse repos matured.

The PBOC said operation on Jan 4 was aimed at maintaining “reasonably abundant liquidity” in the banking system.

Through reverse repos, the central bank purchases securities from commercial banks through bidding, with an agreement to sell them back in the future.