People's Bank of China will establish a SFISE (security, funds and insurance companies swap facility) for 500bn yuan.
To build capital market stability.
Those security, funds and insurance companies eligible can pledge assets such as bonds, stock ETFs, and CSI300 stocks. They'll receive liquidity from the PBOC to boost their capacity to access funds, increase equity holdings.
At the margin a positive for stocks and markets in the country more generally.
Pan Gongsheng, People's Bank of China governor
