Open market operations: Difference between revisions
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imported>Administrator (CSV import) |
imported>John Grout (To expand range of instruments) |
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The buying or selling of financial securities in the open market by | (OMOs) | ||
The buying or selling of financial securities in the open market by a central bank to influence the amount of money in circulation. | |||
The range of instruments used by central banks has tended to increase following the financial crisis early in the 21st Century. For example, the European Central Bank operates through Euro-member states' National Central Banks (NCBs). It lists as available to an NCB "reverse transactions" that are applicable on the basis of repurchase agreements or collateralised loans, outright transactions, issuance of debt certificates, foreign exchange swaps and collection of fixed-term deposits. | |||
== See also == | == See also == | ||
* [[Monetary policy]] | * [[Monetary policy]] | ||
Revision as of 13:20, 13 July 2014
(OMOs)
The buying or selling of financial securities in the open market by a central bank to influence the amount of money in circulation.
The range of instruments used by central banks has tended to increase following the financial crisis early in the 21st Century. For example, the European Central Bank operates through Euro-member states' National Central Banks (NCBs). It lists as available to an NCB "reverse transactions" that are applicable on the basis of repurchase agreements or collateralised loans, outright transactions, issuance of debt certificates, foreign exchange swaps and collection of fixed-term deposits.
