SNB makes it cheaper for banks to access short-term funds

Author: Justin Low | Category: Central Banks

SNB reduces lower limit of its special liquidity-shortage financing facility rate

The rate will be reduced to at least 0%, as compared to the previous level of at least 0.5% - with the change to come into effect starting from 1 July.

The facility is mainly used to allow counterparties - usually banks - to meet liquidity requirements in case they run into any complications or bottlenecks. So, a lower limit essentially makes it cheaper for banks to access these funds in general.
For bank trade ideas, check out eFX Plus

By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose