The Monetary Board decided this week to relax the restrictions imposed on the Standing Facilities to Licensed Commercial Banks (LCBs) under Open Market Operations (OMOs).

With effect from the reserve maintenance period commencing 16 February 2024, the restriction on the Standing Lending Facility (SLF) will be removed and the restriction on the Standing Deposit Facility (SDF) will be relaxed from five times (05) to ten times (10) during a calendar month.

The decision was taken at a special Monetary Board meeting held yesterday, after carefully reviewing the developments in the domestic money market, as well as the behaviour of LCBs in terms of market participation along with the improvements in liquidity, the Central Bank said.