BEIJING -- China's central bank drained 150 billion yuan ($23 billion) from the financial system through open market operations Wednesday, with the volume of maturing securities exceeding new injections.

The People's Bank of China (PBOC) pumped 60 billion yuan into the market through reverse repos, with 210 billion yuan of contracts maturing, leading to a net withdrawal of 150 billion yuan.

The PBOC said the move was to maintain liquidity "at a reasonable and abundant level."

The PBOC announced Sunday that it would cut the reserve requirement ratio (RRR) for some commercial banks by 50 basis points, expecting to release a total of 700 billion yuan into the banking system.

PBOC said the cut, the third this year following reductions in January and April, was "a targeted, precision regulation" to boost funding for small and micro firms as well as support the debt-to-equity swap program. The cut will take effect on July 5.

China will maintain a prudent and neutral monetary policy in 2018 as it balances growth and risk prevention.