PBoC said to have recently provided pledged supply lending (PSL) facility to select banks (targeted move) - financial press
**Note: Today's report, follows speculation from last week that the PBoC was said to have used repos with certain banks to drain liquidity in a targeted manner.
- In the past, PBOC officials have repeatedly said that they would use targeted measures for the economy.
- In terms of the SLF, the end of April balance for the facility was zero as the PBoC did not roll over the SLF operations which matured in April; SLF outstanding as of the end of March was CNY170B.
- The SLF is used to inject short-term funds and works in a similar manner to the Fed's discount window or ECB's marginal lending facility.