Sentences with phrase «reserve bank moves»

Not exact matches

«When the central bank promises a smaller payment, reserves are a less attractive investment, so banks will... move away from reserves and into loans,» Reis, an academic at the London School of Economics, wrote in the paper.

On - line banking lets them move cash between accounts to pay bills while they still earn as much interest as possible on their cash reserves.

Since bank reserves held at the Fed are far above their historical levels, marginally raising or lowering reserves — which is how the Fed hits its funds rate target (ffr)-- don't move the ffr the way they used to.

The financial sector rose nearly 1 per cent, after the People's Bank of China said late on Tuesday it would slash reserve requirement ratios (RRRs) for most banks by 100 basis points (bps), a move analysts say will reduce financing costs for lenders.

It allowed the implementation of monetary policy to move away from the use of reserve and liquidity ratios on banks to the use of market operations to influence short - term market interest rates and, through that channel, the interest rates that all lenders charged on loans.

The move expands the scope of a similar document, seen on Tuesday, in which the central bank said it will require banks to hold reserves on behalf of clients» trading of currency forwards, in a move seen curbing speculation and volatility after a shock Aug. 11 yuan devaluation.

One of the moving parts in this equation are bank reserve requirements, which the PBoC essentially uses to control the extent of credit growth triggered by the accumulation of reserves (a.k.a. «sterilization»).

(1) It issues and redeems paper money — United States and Treasury notes;... (4) it transfers money to move the crops;... (6) it acts as a regulator of the rate of discount by contracting and expanding the currency through its operations upon the deposits in banks and in its own vaults; (7) it keeps the gold reserve of the country.

This is hardly surprising, given that the Fed began paying interest on bank reserves in October 2008 — a move designed to encourage banks to build up excess reserves, instead of increasing lending.

A decision by China's central bank to rein in reserve funds held by payment firms could cost the industry upwards of $ 689 million a year, spur consolidation and alter the way Asia's biggest tech firms move money.

Let's start with a quick definition of banking before moving on, because it is essential to the discussion of any specific type of banking, such as fractional reserve banking.

At some point, the Bank's long - term rates will go up and this has more to do with an improving U.S. economy and the U.S. Federal Reserves move to increase U.S. Treasure note rates, explains Madani, then with the Bank's desire to curb inflation.

And over the last 9 months, official demand for US long - term bonds also disappeared — as reserve growth slowed (until recently) and central banks moved in mass toward short - term treasury bills.

On the positive side, however, Zhengfu notes that the CEO of Bitcoin Kal - El Al Gore has banned China, and hopes that the unfortuante timing decision by Gore will, at least for the time being, convince the Chinese and Bitcoin media that Gore's move was a joke, giving the People's Bank of China sufficient breathing room to convert its bitcoin reserves into doge.