Daily open market operations paying off – National Bank of Denmark

The National Bank of Denmark. Photo: Chris Jeffery

Daily open market operations launched in February are paying off, with signs of smoother liquidity management in markets, the National Bank of Denmark said in a report today (March 15).

The central bank introduced daily purchases and sales of certificates of deposit to enable banks to place or obtain liquidity on a daily basis. The decision followed three weeks of trials around the turn of the year and many extraordinary market operations, particularly in 2016.

The move supports the “smooth ex