analyze a model federal funds market where uncertain liquidity flows transaction costs induce banks to delay trading bid up …

International policy efforts to strengthen financial systems have highlighted the role of liquidity. This paper … explores a framework to assess arrangements for market liquidity and lays out elements of systemic liquidity policy. Robust … arrangements for liquidity provide confidence to market participants that liquidity can be mobilized on demand in a predictable and …

The Swedish banking system faced a severe liquidity strain during the global financial crisis owing to their extensive … recommendations made in the Financial Sector Assessment Program (FSAP) Update in the area of systemic liquidity risk management …, especially in relatively weak areas and some aspects of Riksbank’s domestic liquidity toolkit. But it does not cover a range of …

stabilizing their own liquidity at high frequency. The latter institution follows a much more "hands-on" approach involving daily … intervention to fine-tune the liquidity of the banking system. We review the implications of these contrasting approaches, focusing … from their customary style of liquidity management. We find that, despite differences in operational framework, certain …

United Kingdom, the euro area, and Japan during the recent crisis on interbank credit and liquidity risk premia …. Announcements of interest rate cuts, liquidity support, liability guarantees, and recapitalization were associated with a reduction …

as financial depth and integration were also relevant. Finally, countercyclical monetary policy and liquidity played a …

the existence of the structural liquidity in the banking system; bank’s unwillingness to lock up liquidity in the NBP … also shows the effectiveness of the NBP’s responses to the financial crisis and structural liquidity surplus. …

This paper discusses operational aspects of official emergency liquidity support to individual institutions under …