China raises 14-day reverse repo rate by 5 bps to 2.65 percent: statement

A woman walks past the headquarters of the People's Bank of China (PBOC), the central bank, in Beijing, June 21, 2013. REUTERS/Jason Lee/Files

SHANGHAI (Reuters) - China’s central bank raised interest rates on reverse repurchase agreements, or reverse repos, used for open market operations by 5 basis points for the 14-day tenor on Monday, following upward adjustments on other tenors last week.

In a statement published on the central bank’s website, it said it raised the 14-day rate to 2.65 percent from 2.60 percent.

The People’s Bank of China injected 300 billion yuan ($45.37 billion) into money markets on Monday through 7-day, 14-day and 28-day reverse repos on Monday.

The PBOC nudged money market interest rates upward last Thursday just hours after the Federal Reserve raised the U.S. benchmark, as Beijing seeks to prevent destabilising capital outflows without hurting economic growth.

($1 = 6.6120 Chinese yuan)

Reporting by Winni Zhou and Andrew Galbraith; Editing by Sam Holmes