Basic features of the Primary mechanism and the Supplementary mechanism of liquidity provision
Mechanism | Purpose | Operations | Term | Interest rate | Assets | |
---|---|---|---|---|---|---|
The Primary mechanism (PM) | Liquidity management and operating monetary policy goal | Auctions | Repos | Min bid rate: key rate (fixed) |
Securities from Lombard list eligible for PM | |
1 week | ||||||
1 month | Min bid rate: key rate + 10 b.p. (floating) |
OFZ, regional and municipal bonds from Lombard list eligible for longer-term repos | ||||
1 year | Min bid rate: key rate + 25 b.p. (floating) |
|||||
Loans secured by non-marketable assets | 3 months | Credit claims eligible for PM | ||||
Standing Facilities | Intraday loans and overnight loans | 1 day | No / key rate + 100 b.p. (fixed) |
Securities from Lombard list eligible for PM and SM and credit claims eligible for PM and SM | ||
Repos | 1 day | key rate + 100 b.p. (fixed) |
Securities from Lombard list eligible for PM | |||
Lombard loans / loans secured by non-marketable assets | key rate + 100 b.p. (floating) |
Securities from Lombard list eligible for PM / credit claims eligible for PM | ||||
The Supplementary mechanism (SM) | Credit institutions’ support (for institutions which experiencing temporary liquidity shortages) | Repos | key rate + 175 b.p. (floating) |
Securities from Lombard list eligible for SM | ||
Loans secured by non-marketable assets | key rate + 175 b.p. (floating) |
Credit claims eligible for SM |
Assets eligible for the Primary mechanism and the Supplementary mechanism of liquidity provision
Assets eligible for PM | Assets eligible for SM1 | |
---|---|---|
Assets — operations | Securities — repos and loans, Credit claims — loans |
Securities — repos, Credit claims — loans |
Securities from Lombard list |
1) Bonds issued on behalf of the Russian Federation 2) Bank of Russia Bonds 3) Corporate, regional and municipal bonds provided that: — an issue / issuer of bonds has at least two credit ratings from different credit rating agencies2 — all credit ratings (which it has) should not be lower „АА-”3 |
1) Bonds, which not eligible for PM, provided that: — an issue / issuer of bonds has a credit rating from credit rating agencies2 — all credit ratings (which it has) should not be lower „А-”4 2) Mortgage-backed bonds secured by a joint guarantee of DOM.RF 3) Bonds with guarantee of the Russian Federation |
Nonmarketable assets — credit claims |
Credit claims provided that: — a debtor has at least two credit ratings from different credit rating agencies2 — all credit ratings (which it has) should not be lower „АА-”3 |
1) Credit claims, which not eligible for PM, provided that: — a debtor has a credit rating from credit rating agencies2 — all credit ratings (which it has) should not be lower „А-”4 2) Credit claims to corporations which have no credit ratings, but have a credit risk estimation from the Bank of Russia at the level corresponding to credit ratings not lower „А-”4 3) Credit claims to the Russian Federation |