BSP mops up P225.19B via RRP transactions in Sept.

As part of its operations to mop up excess liquidity, or money in the financial system, the Bangko Sentral ng Pilipinas in September borrowed P225.19 billion from banks in transactions known as reverse repurchase agreements or RRP. The operation helps keep inflation in check. BSP data released Tuesday showed that the central bank’s RRP in September was up by 79.5 percent from P125.63 billion in August. RRP aggrements refer to transactions where the central bank borrows money from banks, as opposed to a repurchase agreement where the central bank lends money to banks. — VS, GMANews.TV