Training Program

Central bank officials from CDOT and SARTTAC member countries. Selected central banks from the APD region by invitation.

The participants are expected to be involved in monetary policy design/or monetary operations/or compliance of reserve requirements The participants are expected to work in either a monetary policy, a monetary operations and/or supervision departments. No other pre-requisites are imposed.

This course is a continuation of the joint SARTTAC-CDOT course on monetary policy implementation. Earlier segments included: i) interest rate corridor (August 2021); ii) central bank daily liquidity management (October 2021); and iii) collateral framework for central bank liquidity-providing operations (January 2022) and Emergency Liquidity Assistance/Lender of last resort (April 2022). This course will continue under a virtual format. Most central banks oblige depository institutions (commercial banks) to hold minimum reserves against their liabilities, predominantly in the form of balances at the central bank. The role of these reserve requirements has evolved significantly over time. The overlay of changing purposes and practices has the result that it is not always fully clear what the current purpose of reserve requirements is, and this necessarily complicates thinking about how a reserve regime should be structured. On day 1 and 2, presentations aim to provide guidance on conceptual and operational considerations on the use and design of the reserve requirements in a given monetary policy regime. On day 3 and 4, invited central banks will present a case study to share their experience and challenges faced in the design and implementation of reserve requirements. There will be ample room for Q&A.