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Home > Markets > Sterling Monetary Framework > Indexed Long-Term Repo Open Market Operations
 

Indexed Long-Term Repo Open Market Operations

The regular monthly market-wide Indexed Long-Term Repo (ILTR) auctions are aimed at banks with a predictable need for liquid assets.

The Bank offers funds via an indexed long-term repo operation once each calendar month, usually on a Tuesday mid-month. Normally, the Bank offers funds with a six-month maturity. Participants are able to borrow against three collateral sets: Levels A, B and C.

Level A Collateral
Level B Collateral
 
The ILTR provides consistent six-month committed liquidity, at cheaper (auction-determined) rates, and against the full range of eligible SMF collateral.

The operation of indexed long-term repos is set out in more detail in the Red Book:

Red Book - Chapter VIII - Indexed Long-Term Repo

The paper below illustrates the process underlying the Bank’s ILTR operations:

Indexed Long-Term Repo (ILTR): example of the auction process 
 

Counterparties participate in indexed long-term repo OMOs electronically via Btender, the Bank's electronic tendering system.

Results


Indexed Long-Term Repo OMOs

Market Notices

The main SMF Documentation sets out how these operations work. Its provisions may be amended by the Bank from time to time by Market Notices.

Market Notice: Sterling Monetary Framework: Indexed Long-Term Repo operations and Contingent Term Repo Facility
16 January 2014