Transactions are replicated from a source database to a target database in a data replication system. The system includes a first memory location that persistently stores statement text associated with transactions to be replicated. Transactions to be replicated are cached by separating the transactions into statement text and statement data. A determination is made as to whether the statement text has been previously stored in the first memory location. If not, then the statement text is persistently stored to the first memory location. A similar scheme is provided for replicating I/O operations.