Advanced economies take the lead in securities lending
Nearly 60% of reserve managers lend out assets that are in high demand
Most of the world’s central banks are engaging in securities lending, a practice led by institutions in advanced economies. On average, 57.9% of reserve managers engage in securities lending, according to Reserve Benchmarks 2020 data.
Reserve managers engage in securities lending as a way to enhance profits by lending out their most highly rated liquid assets, such as US Treasuries and German Bunds.
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Among those that are active in securities lending, 63.6% are classified as high-income
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