Reserve Bank of Australia - speech by Christopher Kent, Assistant Governor (Financial Markets)
Text is here: The Reserve Bank's Operations - Liquidity, Market Function and Funding
- RBA's pandemic liquidity operations 'have worked well
- firms been able to issue bonds at good quantities, yields
- spreads are aided by monetary, fiscal, prudential support
- operations helped market sentiment, financial conditions
- major banks have access to ample sources of funding
- credit growth likely to remain low or even decline
- current take up of the RBA's Term Funding Facility is around A$26 billion (around 17% of the total currently on offer), "our expectation and liaison with the banks suggest that the take-up of the TFF will ramp up as we get closer to the end of September" when it comes to an end
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TFF was set up in March to lower borrowing costs and support lending,
