Central Banks Phase Out Dollar Liquidity Tenders as Crisis Eases
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The European Central Bank and global peers will wind down emergency dollar liquidity facilities that have helped lenders weather financial turbulence since 2007.
“In view of the considerable improvement in U.S. dollar funding conditions and the low demand for U.S. dollar liquidity-providing operations,” the ECB, the Bank of England, the Bank of Japan and the Swiss National Bank jointly decided to reduce the offering of dollar loans to banks, the Frankfurt-based ECB said in a statement today.