BEIJING, Oct. 24 (Xinhua) -- China's central bank announced Friday that it will conduct a 900-billion-yuan (about 127 billion U.S. dollars) one-year medium-term lending facility (MLF) operation on Monday to maintain ample liquidity in the country's banking system.

The People's Bank of China said the MLF operation will be conducted via a fixed-quantity, interest rate-bidding and multiple price-bidding method.

With 700 billion yuan of MLF funds maturing in October, the net injection via MLF alone will reach 200 billion yuan this month.

Wang Qing, chief macro analyst at Golden Credit Rating, said that the central bank was increasing liquidity supply via monetary tools such as MLF operations, with this demonstrating a supportive monetary policy orientation that would help stabilize market expectations.

The MLF was introduced in 2014 to help commercial and policy banks maintain liquidity by allowing them to borrow from the central bank using securities as collateral. ■