Banking and Markets


Abstract icon Banking and Markets conducts the fixed-exchange-rate policy, is banker to the banks, invests and manages the risk on the foreign-exchange reserve, manages the government debt on behalf of the Ministry of Finance and is responsible for payment, settlement and portfolio systems.

Banking

  • Handles various customer relationships and activities with banks, the central government, central banks, etc.

  • Is responsible for ensuring stable settlement of payments over the day and monitoring the smooth progress of the monetary policy day

  • Undertakes a wide range of tasks within settlement, payments and liquidity management

  • Undertakes control and reconciliation of Danmarks Nationalbank's investment of its foreign exchange and securities portfolios and control of issuance and redemption of government securities

  • handles system management of the department's core business applications, Perago, Swift Alliance Access and Calypso

  • manages the department's system ownership responsibilities

  • handles the department's internal and external partners in relation to operations, maintenance and development of the systems.

Monetary Policy Implementation and Government Debt

  • Monitors developments in the Danish and global money and foreign exchange markets

  • Implements the fixed exchange rate policy through foreign exchange market intervention, liquidity operations, policy for collateral and monetary policy interest rates

  • Invests the foreign exchange reserve and domestic securities portfolio to support the fixed exchange rate policy and achieve the highest possible return based on established limits for exposure and investments

  • Handles government debt strategy and management on behalf of the Ministry of Finance

  • Sells and buys domestic government securities, raises foreign government loans, enters into interest rate swaps and handles the operational part of the management of a number of portfolios

  • Grants loans to state-owned companies.


 Risk Management 

  • Determines exposure and investment limits e.g. limits for liquidity, interest rate and credit risks for Danmarks Nationalbank's portfolios. The portfolios cover the foreign exchange reserve and the domestic securities portfolio
  • Prepares drafts for Danmarks Nationalbank's guidelines for responsible investment and ensures that Danmarks Nationalbank's portfolios comply with these guidelines
  • Is responsible for Danmarks Nationalbank's model for strategic asset allocation and prepares drafts for investment strategy for Danmarks Nationalbank's portfolios. The strategic asset allocation aims to achieve the maximum possible risk-adjusted return within defined limits
  • Is responsible for the model for calculation and management of interest rate risk on the government debt
  • Follows up on the framework for Danmarks Nationalbank's portfolios and the government debt
  • Gathers Banking and Markets' operational risks and incidents and reports to Danmarks Nationalbank's Risk Committee.


 TargetDKK

  • ensure migration of Danish kroner payment settlement to the upcoming European payment and securities settlement platform Target Services
  • handle sector collaboration and coordination with account holders on design, implementation and testing of future Target DKK solution
  • consolidate instant payments in Danish kroner on TIPS (Target Instant Payment Settlement)
  • develop functionality in Danmarks Nationalbank's portfolio system for collateral, monetary policy instruments and cash supply.


 

Contact us
settlements@nationalbanken.dk (Back Office)
kronosgroup@nationalbanken.dk (Kronos Group)


Telephone: +45 3363 6661 (Martin Wagner Toftdahl - Interim)

Banking

Telephone: +45 3363 6902 (Jesper Mærsk)

Monetary Policy Implementation and Government Debt
Telephone: +45 3363 6661 (Martin Wagner Toftdahl)

Risk Management
Telephone: +45 3363 6075 (Thusjanthan Gunapalasingham)

TargetDKK

Telephone: +45 3363 6903 (Faisel Sethi)