Banks rush to tap new dollar liquidity facilities

IIF warns of major capital flight from emerging markets as demand for Fed-backed repos surges

Federal-Reserve banknote
The Federal Reserve

The new 12-week dollar liquidity facilities offered by four major central banks and backed by the Federal Reserve saw strong demand today (March 18) in their first day of operations.

The opening of the facilities coincided with signs that dollar funding markets were tightening. One measure of stress, the Libor-OIS spread, hit its highest level since 2009 on March 16. The news came as the Institute of International Finance warned of major capital flight from emerging markets.

The Bank of

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

Register for Central Banking

All fields are mandatory unless otherwise highlighted

This address will be used to create your account

Most read articles loading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account

.