Korea’s central bank said it plans to begin injecting liquidity via repurchase agreements (repo) regularly to boost the money supply starting July 10, writes Korea Times. The Bank of Korea (BoK) will buy bonds with a 14-day repo every Tuesday and sell them with a seven-day repo every Thursday.
The BOK has been mainly buying repos in a regular manner to adjust liquidity in the financial system. But the timetable and repo maturities will change ahead of and after the central bank’s rate-setting meeting, it said.