Technical adjustment of the monetary policy instruments

Analysis - March 2021 - No. 5

Authors Danmarks Nationalbank
Subject Monetary policy; Central rate; Current account rate; Fixed-exchange-rate policy; Lending rate; Monetary-policy instrument
Type Analysis
Year 2021
Published 11 March 2021
Abstract icon Danmarks Nationalbank introduces one single rate for deposits and one single rate for monetary policy loans. Simultaneously, the difference between the monetary policy rates is narrowed. The adjustments ensure more stable money market rates and thus a more predictable effect on the Danish krone. The adjustments are not intended nor expected to affect the level of money market rates or the Danish krone.