Mechanismus stabilizace ultrakrátkých úrokových sazeb prostřednictvím repo operací České národní banky
The stabilization mechanism of ultra short-term interest rates in the context of Czech national bank's repo tenders
Karel Brůna ()
Politická ekonomie, 2005, vol. 2005, issue 4, 459-476
Effectiveness of actual monetary policy depends on the ability of central banks to stabilize the fluctuations of overnight interest rates around their official policy rate. To ensure the functionality of the stabilization mechanism needs the successful balancing between bank's demand for reserves and central bank's supply of the reserves in interbank market. I discuss the main sources of temporal gaps between the demand for and the supply of the reserves and their impact on the volatility of overnight interest rates. In our theoretical explanation there is stressed the role of intertemporal substitution in fluctuation of demand for reserves. In the empirical part there is analysed the behaviour of overnight interest rates in the Czech interbank market (2001 - 2004) in the context of excess liquidity. Some structural changes in interbank market were found - undershooting of non-stability of excess liquidity and decline of overnight interest rates volatility due to new possibility of intraday credit.
Keywords: monetary policy; repo rate; overnight interest rates; open market operations (search for similar items in EconPapers)
JEL-codes: E43 E51 E52 (search for similar items in EconPapers)
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
free of charge
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:prg:jnlpol:v:2005:y:2005:i:4:id:517:p:459-476
Ordering information: This journal article can be ordered from
Redakce Politické ekonomie, Vysoká škola ekonomická, nám. W. Churchilla 4, 130 67 Praha 3
Access Statistics for this article
Politická ekonomie is currently edited by Jiřina Bulisová
More articles in Politická ekonomie from University of Economics, Prague Contact information at EDIRC.
Bibliographic data for series maintained by Stanislav Vojir ().