This paper investigates the impact of ample liquidity provision by the European Central Bank on the functioning of the … main euro area payment system. To identify exogenous shocks to central bank liquidity, we exploit the timing of ECB … liquidity operations and use a simple structural vector auto-regression framework. We argue that the ECB acted as a de …

show that large TARGET balances can only arise with excess liquidity. The interpretation of TARGET balances therefore … depends on the monetary policy context in which excess liquidity is created. We distinguish three phases of TARGET balances … excess liquidity is likely to persist on account of higher demand for central bank reserves compared to the pre-crisis period …

' funding structures jointly with that in their excess liquidity holdings. We find evidence that banks highly exposed to the …, importantly, the explicit consideration of the role of excess liquidity in our analysis …

We study how banks manage their liquidity among the various assets at their disposal. We exploit the introduction of … assets over time. Our results imply that frictions in one market for liquidity can spill over to several markets …

reliance on retail deposit funding and the level of excess liquidity holdings may increase banks’ responsiveness to NIRP. We … segments. We are the first to document the importance of banks’ excess liquidity holdings for the effectiveness of NIRP …, pointing to a strong complementarity of NIRP with central bank liquidity injections, e.g. via asset purchases …

incentives to credit insitutions to use actively the interbank market to manage their liquidity needs. In this context, we … their liquidity shocks. This paper specifically focuses on the speed of reversion of transaction costs and available depth … reported evidence points to time-varying liquidity adjustments and identifies liquidity, market activity and the institutional …

We analyse the impact of the Liquidity Coverage Ratio (LCR) on the demand for central bank reserves in the euro area … crisis and the associated introduction of new liquidity regulation …

This paper investigates the relationship between central bank (reverse) auctions and bill market liquidity. The …