China's Central Bank Injects $22B Into Economy After Stock Market Drops For Fifth Consecutive Day

China’s central bank announced Wednesday that it is injecting 140 billion yuan ($21.8 billion) into the country’s banking system through short-term liquidity operations (SLOs), Reuters reported.

The move comes just a day after the People’s Bank of China slashed the reserve requirement ratio -- which governs how much money banks can lend -- by 0.5 percent -- and cut its benchmark interest rates. The SLO loans, which mature in six days, reportedly come with a 2.3 percent interest rate.

SLOs were introduced by the central bank in 2013 to reduce fluctuations in liquidity and stabilize interbank funding costs.

Last week, after an increase in capital outflows following the devaluation of the yuan, the central bank injected 120 billion yuan ($18.77 billion) in the form of short-term loans to commercial lenders in the country.

The latest move comes after the Shanghai stock market fell again Wednesday -- closing down 1.3 percent -- despite the previous day’s rate cuts.