IDEAS home Printed from https://ideas.repec.org/a/nzb/nzbbul/december20041.html
   My bibliography  Save this article

Liquidity management in the New Zealand banking system

Author

Listed:
  • Jan Frazer

    (Reserve Bank of New Zealand)

Abstract

This article provides an overview of how the Reserve Bank (the Bank) conducts liquidity management. It describes the two areas of liquidity management conducted by the Bank - what the Bank does to maintain a stable and sufficient supply of system liquidity and what it does to ensure individual banks have access to liquidity to meet daily transactional obligations through the payments and settlement system. It also explains how the Bank supports its monetary policy implementation by managing the level of liquidity in the banking system so as to avoid large fluctuations in short-term interest rates.

Suggested Citation

  • Jan Frazer, 2004. "Liquidity management in the New Zealand banking system," Reserve Bank of New Zealand Bulletin, Reserve Bank of New Zealand, vol. 67, December.
  • Handle: RePEc:nzb:nzbbul:december2004:1
    as

    Download full text from publisher

    File URL: http://www.rbnz.govt.nz/-/media/ReserveBank/Files/Publications/Bulletins/2004/2004dec67-4frazer.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. David Archer & Andy Brookes & Michael Reddell, 1999. "A cash rate system for implementing monetary policy," Reserve Bank of New Zealand Bulletin, Reserve Bank of New Zealand, vol. 62, March.
    2. John Tait & Michael Reddell, 1991. "The operation of monetary policy," Reserve Bank of New Zealand Bulletin, Reserve Bank of New Zealand, vol. 54, march.
    3. Andy Brookes, 1999. "Monetary policy and the Reserve Bank balance sheet," Reserve Bank of New Zealand Bulletin, Reserve Bank of New Zealand, vol. 62, December.
    4. anonymous, 1987. "The basics of liquidity management," Reserve Bank of New Zealand Bulletin, Reserve Bank of New Zealand, vol. 50, september.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Guender, Alfred V. & Rimer, Oyvinn, 2008. "The implementation of monetary policy in New Zealand: What factors affect the 90-day bank bill rate?," The North American Journal of Economics and Finance, Elsevier, vol. 19(2), pages 215-234, August.
    2. Ian Nield, 2006. "Changes to liquidity management regime," Reserve Bank of New Zealand Bulletin, Reserve Bank of New Zealand, vol. 69, pages 1-6, December.
    3. Yueh-Yun C. O'Brien, 2007. "Reserve requirement systems in OECD countries," Finance and Economics Discussion Series 2007-54, Board of Governors of the Federal Reserve System (U.S.).
    4. Skeie, David R., 2008. "Banking with nominal deposits and inside money," Journal of Financial Intermediation, Elsevier, vol. 17(4), pages 562-584, October.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nzb:nzbbul:december2004:1. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Reserve Bank of New Zealand Knowledge Centre). General contact details of provider: http://edirc.repec.org/data/rbngvnz.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.