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The significant increase in bill........>

CHINA PRESS
MNI (London)
CHINA PRESS: The significant increase in bill financing in January has supported
the real economy, helping lower financing costs of SMEs, the Monetary Policy
Department at the PBOC said Thursday in a front-page commentary in the Financial
News, a newspaper run by the PBOC.
- The PBOC said some of the bill financing had been used by companies to
'arbitrage' between banks to pick up on rates, but noted this was only temporary
as there was little arb opportunity with structured deposit interest rates
returning to a reasonable level, the PBOC said. The PBOC comments were seen
combatting rumors that firms' arbitrage was the main driver boosting the latest
bill financing figure.
MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com

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