Monetary Policy Instruments and Implementation. Policy Interest Levels and Open Marketplace Operations (OMO)

Monetary Policy Instruments and Implementation. Policy Interest Levels and Open Marketplace Operations (OMO)

The Central Bank possesses an extensive number of tools to be utilized as instruments of financial policy. At the moment, the financial policy places greater reliance on market based policy instruments. As a result, the primary financial policy instruments presently utilized are policy rates of interest and Policy Rate Corridor (PRC), Open Market Operations (OMO) additionally the Statutory Reserve Requirement (SRR) on commercial bank deposit liabilities. (more…)

Continue ReadingMonetary Policy Instruments and Implementation. Policy Interest Levels and Open Marketplace Operations (OMO)