The central bank has been buying government bonds and making cheap loans available to banks to help keep a lid on interest rates and ensure sufficient liquidity in the financial system.
Source: Reserve Bank of New Zealand
10 March 2021 â The Reserve Bank â Te PÅ«tea Matua today announced that it will be removing some of the temporary liquidity facilities put in place during the COVID-19 pandemic.
The specific measures include:
The removal of the Term Auction Facility (TAF) where banks have been able to borrow funds for 3, 6 and 12 months using eligible collateral, including NZ Government securities, registered bank bills and Residential Mortgage Backed Securities (RMBS).
The removal of the Corporate Open Market Operation (COMO) where banks have been able to borrow funds for 3 months using eligible collateral, including corporate securities and asset backed securities.
Press Release – Reserve Bank The Reserve Bank Te Ptea Matua today announced that it will be removing some of the temporary liquidity facilities put in place during the COVID-19 pandemic. The specific measures include: The removal of the Term Auction Facility (TAF) where …
The Reserve Bank – Te Pūtea Matua today announced that it will be removing some of the temporary liquidity facilities put in place during the COVID-19 pandemic.
The specific measures include:
The removal of the Term Auction Facility (TAF) where banks have been able to borrow funds for 3, 6 and 12 months using eligible collateral, including NZ Government securities, registered bank bills and Residential Mortgage Backed Securities (RMBS).