ECB 3of3 Monetary Policy Instruments

Next part: http://www.youtube.com/watch?v=0lI8-MvpT7w

The primary objective of the ECBs monetary policy is to maintain price stability. The ECB aims at inflation rates of below, but close to, 2% over the medium term.

The operational framework of the Eurosystem consists of the following set of instruments: * open market operations, * standing facilities, * minimum reserve requirements for credit institutions.


* Open market operations.
Open market operations play an important role in steering interest rates, managing the liquidity situation in the market and signalling the monetary policy stance.
http://www.ecb.int/mopo/implement/intro/html/index.en.html#operations


* Standing facilities.
Standing facilities aim to provide and absorb overnight liquidity, signal the general monetary policy stance and bound overnight market interest rates. Two standing facilities, which are administered in a decentralised manner by the NCBs, are available to eligible counterparties on their own initiative.
http://www.ecb.int/mopo/implement/intro/html/index.en.html#facilities


* Minimum reserve requirements.
The intent of the minimum reserve system is to pursue the aims of stabilising money market interest rates, creating (or enlarging) a structural liquidity shortage and possibly contributing to the control of monetary expansion.
http://www.ecb.int/mopo/implement/intro/html/index.en.html#reserves

Category:

Education

Tags:

• ECB
• European
• Central
• Bank
• Monetary
• policy
• instruments
• overnight
• lending
• bidrates

[kookoo111222]

thanks for the vid :-)

[Schirocko]

sören du stinkst!

[Schirocko]

hmmm ja der unterricht ist ein wenig langweilig, aber nur ein gaaaaanz kleines bissl :D:D:D

[Schirocko]

och das ist doch sooooooo langweilig :/

[Schirocko]

hallo lennart,wenn du das liest,machst du deine aufgabe nicht ordentlich!