Mumbai, Aug. 25 -- The People's Bank of China (PBOC) announced on Monday that it will conduct overnight reverse repo operations from Aug. 27 to Sept. 1 to better meet the short-term liquidity needs of the banking system. The operations will be conducted at a fixed interest rate through quantity-based bidding, with the daily amount capped at 600 billion yuan (about 88.4 billion U.S. dollars), according to the PBOC. Overnight reverse repo is a process in which the central bank purchases securities from commercial banks via a bidding process, with an agreement to sell them back the next day. In late June, the PBOC added the tool to its open market operations, a move aimed at further improving the interest rate regulation mechanism and diversif...