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Article: CHINA USES CENTRAL BANK NOTES TO OFFSET BASE MONEY INCREASE.
- Article from:
- AsiaPulse News
- Article date:
- May 22, 2003
CopyrightCOPYRIGHT 2003 Asia Pulse Pty Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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BEIJING, May 22 Asia Pulse - Following the conversion of undue positive repurchases into central bank notes in September last year, the People's Bank of China officially began to issue central bank notes on April 22 this year through open market operations. Within a short period, the central bank issued 10 billion yuan (US$1.2 billion) worth of notes on April 29, another 10 billion yuan on May 6, the fourth and fifth batches with a combined value of 20 billion yuan on May 13, and the sixth and seventh batches also with a combined value of 20 billion yuan on May 20. Why is the central bank issuing notes so frequently?
Banking sources said the main purpose is to ...