The standing facilities of borrowing and depositing enable credit institutions to borrow funds from or deposit funds with the Croatian National Bank at their own initiative, mostly at the end of the working day and with overnight maturity.
The Croatian National Bank enables the borrowing of funds through overnight loans and the depositing of funds through overnight deposit. Loans are granted under certain conditions, which comprise the defined eligible collateral and an interest rate above the market interest rate. On the other hand, the depositing of funds with the central bank is remunerated at an interest rate below the market interest rate. In that way, central banks set an interest rate corridor within which money market interest rates should move.
- Granted on the basis of a bank's request at the end of the working day;
- Unpaid intraday loan is considered an application for an overnight loan;
- The loan may be used on a daily basis;
- Has overnight maturity;
- The interest rate is 2.50%
- The banks may deposit surplus funds with the CNB at the end of the day;
- The facility may be used on a daily basis;
- The facility has overnight maturity;
- The interest rate is 0.00%;
- Overnight deposit funds are not included in the calculation of reserve requirement maintenance;