The Reserve Bank’s Domestic Markets section (DM) is responsible for implementing monetary policy and managing liquidity in the banking system. It achieves this by forecasting both the Crown’s and the Reserve Bank’s liquidity flows, and conducting operations in financial markets to ensure actual overnight rates trade close to the Official Cash Rate (OCR). These include Open Market Operations (OMO), FX swaps, basis swaps and the repurchase of Government bonds that are soon to mature. DM also provides standby facilities for cash and Government bonds to registered market participants.
This section details the securities acceptable in the Reserve Bank’s domestic operations and standing facilities, including the haircuts applied to those securities. It also includes the criteria applied to the acceptable securities and details the application process.
This document details the rules and guidelines for all Domestic market operations conducted by the Financial Markets department (including counterparty application forms). It has been broken into four sections:
For bidding and general information contact:
The Manager
Domestic Markets
Financial Markets Department
Reserve Bank of New Zealand
P O Box 2498
Wellington
NEW ZEALAND
Telephone: +64 4 471 3784
Information on the issuance of New Zealand government securities can be found on the New Zealand Debt Management Office’s website including:
Weekly turnover of government bonds in the secondary market and the monthly survey of New Zealand government securities held for non-residents: