China's central bank injected liquidity through overnight reverse repos on Friday, marking its first such operation in the middle of a month. The People's Bank of China conducted 349 billion yuan ($51.7 billion) of overnight reverse repos, it said in a statement.

Taking into account 1 billion yuan of maturing seven-day reverse repo, the operation resulted in a net injection of 348 billion yuan into the banking system. The move signals the PBOC's willingness to use flexible tools to manage short-term funding conditions.

The operation comes as authorities seek to maintain ample liquidity amid seasonal demand and regulatory shifts. Analysts say the mid-month timing is unusual, as the PBOC typically conducts such operations at month-end or quarter-end.

The injection size exceeds recent daily operations, underscoring the central bank's focus on stabilizing money-market rates. Traders will watch whether this becomes a regular feature of the PBOC's liquidity management framework.