Chinese policy lender injected $100bn

Agricultural Development Bank of China has injected about US$100 billion into the country’s money market since the end of May, Bloomberg reported, citing a statement from the bank on Thursday. Members of the bank’s bond underwriting syndicate, which included Industrial & Commercial Bank of China (601398.SHA, 1398.HKG), Bank of China (601988.SHA, 1288.HKG) and China Construction Bank (601939.SHA, 0939.HKG), received the capital via overnight money market transactions. The funds have been used to ease a shortage of liquidity in China’s interbank money market, where lending rates skyrocketed last week. The cash injections showed Beijing’s willingness to relieve the shortage after panic spread in the market.