Monetary policy instruments
The Riksbank regularly uses market operations in the form of Riksbank Certificates or repos.
Riksbank Certificates during surplus in banking system
Once a week, normally on Tuesdays, the Riksbank issues Riksbank Certificates at an interest rate that is the same as the repo rate. By issuing Riksbank Certificates, the Riksbank withdraws liquidity from the banking system, which currently has a surplus.
Repos during a deficit in the banking system
If the banking system has a liquidity deficit in relation to the Riksbank, the Riksbank provides for this by carrying out repo transactions once a week. A repo transaction means that the Riksbank buys securities from the banks at the repo rate, which are then sold back one week later.
Standing deposit and lending facilities
RIX participants that are credit institutions domiciled or with a branch in Sweden and which are monetary policy counterparties have access to the standing deposit and lending facilities.
The standing deposit facility means that the counterparty may have a positive balance on its account in RIX at the end of the day. The counterparty then receives interest calculated as the repo rate minus 0.10 percentage points. If this entails a negative interest rate, the counterparty pays interest to the Riksbank.
The standing lending facility means that the counterparty may have a negative balance on its account in RIX at the end of the day. The counterparty then pays interest calculated as the repo rate plus 0.75 percentage points.
In addition to the instruments mentioned above, the Riksbank can also use other instruments when implementing monetary policy. One such instrument is the purchase (and sale) of securities.
Conditions for Monetary Policy Instruments
Rules and Regulations for RIX and Monetary Policy Instruments are gathered under Conditions and instructions.
There are special conditions applying to some monetary policy instruments normally used by the Riksbank. There are special conditions applying to Riksbank Certificates.