The European Central Bank, the United States Federal Reserve, the SNB and the central banks of the United Kingdom, Canada and Japan will inject dollars into the markets through permanent swap agreements. (Illustrative photo) Image: Keystone
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The Swiss National Bank (SNB) participated again on Friday in a concerted action with several central banks to improve the supply of liquidity markets in dollars, while the financial sector is under pressure due to the coronavirus pandemic.
The SNB, together with its counterparts from the United Kingdom, Canada, Japan, as well as the European Central Bank (ECB) and the United States Federal Reserve (Fed) will inject dollars into the markets through permanent swap agreements, said the Swiss issuing institute in a press release.
So far weekly, these operations will be daily from Monday and will continue at this rate at least until the end of April. The central banks will also continue the weekly injections with durations of 84 days.
“The swap lines between central banks are standing facilities fulfilling the important function of a safety net to help ease tensions in the international financing markets and thereby help to mitigate the effects of these tensions on the supply of loans to households and businesses, ”said the SNB. (ats / nxp)
Created: 20.03.2020, 16h01
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