The NBR will reduce the level of minimum reserves (RMOs) to liquidity when the liquidity deficit becomes permanent and there will be no excess liquidity, said Governor of the Central Bank Mugur Isărescu.
"There is a surplus and a lack of liquidity, there are fluctuations of downward and downward liquidity, which are completely normal, and if these rises and falls were not normal, I would do something very special, but they are perfectly normal if the liquidity deficit becomes permanent and there will be no excess liquidity , we will reduce the reservation of RMO by one or two percent, which is now 8%, which is bank money. We are slightly up to 8% above the European average of 2%, "Isarescu told a press briefing yesterday after the last monetary policy this year.
The NSB committee yesterday retained the key interest rate of 2.5%, as well as the obligatory reserve for RON and foreign currency at the level of 8%.
RMO for liabilities of banks in the ley is at the level of 8%, with the latest discount in the spring of 2015. A new reduction in RMO would free the company about 3-4 billion lei on the market, increasing liquidity in the interbank market, which would affect the adjustment of the ROBOR index.
So far, the central bank relied on repo operations. In August this year NBR continued with liquidity injections, which have so far carried out nine repurchase transactions, with which the central bank temporarily acquires state securities in the portfolio of credit institutions, which in turn provides liquidity.
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Article published in the printed edition Ziarul Financiar of 07.11.2018