Sentences with phrase «reserves at large banks»

The paper calls for doubling funding at financial regulatory agencies, including the Securities and Exchange Commission, and mandating larger capital reserves at large banks, among other ideas.

Not exact matches

Later that same year Fed Vice President Donald Kohn, speaking at a Shadow Open Market Committee meeting held here at the Cato Institute, complained that «the large volume of reserves is contributing to the loose relationship of our deposit rate and market rates,» while assuring those present that the Fed would eventually «drain the banking system of excess reserves for that reason.»

It's only because the Fed has been paying IOER at rates exceeding those on many Treasury securities, and on short - term Treasury securities especially, that banks (especially large domestic and foreign banks) have chosen to hoard reserves.

To alleviate the slowdown and offset the liquidity drain due to continuing capital outflows the People's Bank of China, the central bank, undertook further easing measures, cutting the reserve requirement ratio by a further 50 basis points to 17 % and 15 % for large and small banks respectively at the beginning of MaBank of China, the central bank, undertook further easing measures, cutting the reserve requirement ratio by a further 50 basis points to 17 % and 15 % for large and small banks respectively at the beginning of Mabank, undertook further easing measures, cutting the reserve requirement ratio by a further 50 basis points to 17 % and 15 % for large and small banks respectively at the beginning of March.

Of course those views were also wrong: the banking system can not immediately adjust to a large injection of reserves; even absent interest on excess reserves, it takes decades for new reserves to expand the money supply as lending opportunities are limited at a given point in time.

Analysts at Moody's Investors Service Middle East in Dubai say the issuance is credit positive for Saudi banks because their profitability will benefit from the transfer of their large, low - yielding reserves of cash and placements from the Saudi Arabian Monetary Authority and other banks to higher - yielding government Islamic bonds.

Larger banks (over $ 110.2 M) must maintain a cash reserve of at least 10 % of net deposits.

(Fractional reserve banking often allows banks to have small reserves against which loans can then be made out for larger amounts as usually most people do not withdraw their cash deposits at the same time.