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The declining supply of treasury bills and the Canadian money market

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The supply of treasury bills has fallen considerably since 1995, reflecting a decline in the financing needs of the Canadian government and a change in its debt-management strategy. This has had a major impact on different segments of the money market. Among the various implications of this development, the authors point out the decrease in turnover and, hence, liquidity in the treasury bill market since 1995, as well as high rates of growth in the market for short-term interest rate derivatives and for short-term asset-backed securities.

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  • Serge Boisvert & Nancy Harvey, 1998. "The declining supply of treasury bills and the Canadian money market," Bank of Canada Review, Bank of Canada, vol. 1998(Summer), pages 53-69.
  • Handle: RePEc:bca:bcarev:v:1998:y:1998:i:summer98:p:53-69
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    Cited by:

    1. Philippe Muller & Mark Zelmer, 1999. "Greater Transparency in Monetary Policy: Impact on Financial Markets," Technical Reports 86, Bank of Canada.
    2. Toni Gravelle & Richhild Moessner, 2001. "Reactions of Canadian Interest Rates to Macroeconomic Announcements: Implications for Monetary Policy Transparency," Staff Working Papers 01-5, Bank of Canada.
    3. David Bolder & David Stréliski, 1999. "Yield Curve Modelling at the Bank of Canada," Technical Reports 84, Bank of Canada.

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