FRANKFURT (MNI) – Following is the text of the announcement made
Thursday by the European Central Bank of a supplementary liquidity
operation with a maturity of six months and of its intention to continue
conducting its main refinancing operations as fixed-rate tender
procedures with full allotment:
“Given the renewed tensions in some financial markets in the euro
area, the Governing Council of the European Central Bank has today
decided to conduct a liquidity-providing supplementary longer-term
refinancing operation (LTRO) with a maturity of approximately six
months.
The operation will be conducted as a fixed rate tender procedure
with full allotment.
The rate in this operation will be fixed at the average rate of the
main refinancing operations (MROs) over the life of the supplementary
LTRO.
The operation will be announced on 9 August 2011, with allotment on
10 August 2011 and settlement on 11 August 2011, and will mature on 1
March 2012.
The Governing Council also decided to continue conducting its MROs
as fixed-rate tender procedures with full allotment for as long as
necessary, and at least until the end of the last maintenance period of
2011 on 17 January 2012.
This procedure will also remain in use for the Eurosystem’s
special-term refinancing operations with a maturity of one maintenance
period, which will continue to be conducted for as long as needed, and
at least until the end of the last quarter of 2011.
The fixed rate in these special-term refinancing operations will be
the same as the MRO rate prevailing at the time. Furthermore, the
Governing Council has decided to conduct the three-month LTROs to be
allotted on 26 October, 30 November and 21 December 2011 as fixed-rate
tender procedures with full allotment.
The rates in these three-month operations will be fixed at the
average rate of the MROs over the life of the respective LTRO.”
[TOPICS: M$$EC$,MT$$$$,M$X$$$,MGX$$$,M$$CR$]
