At the same time, a new liquidity support package is being launched to help non-bank financial institutions in China if they are affected by widespread customer withdrawals, according to central bank governor Pan Gongsheng.
The announcement was made at a financial conference in Beijing, state-run broadcaster CCTV reports.
The central bank currently uses a seven-day interest rate as its policy rate.
It is not clear when this monetary policy reform might be implemented.
A version of a Chinese repo rate introduced in June currently stands at 1.25 percent, compared with the central bank’s seven-day rate of 1.40 percent.
