The European Central Bank's overnight borrowing is only 45 million, while deposits approach 2 trillion. The situation of excess liquidity remains unchanged.
智通财经2026/08/21 09:36Show original
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⑴ The latest daily liquidity data from the European Central Bank shows that financial institutions borrowed approximately 45 million euros through the overnight lending facility, compared to about 38 million euros on the previous trading day. Although the borrowing volume has slightly increased, it remains at an extremely low level, reflecting a rather limited immediate demand for marginal liquidity in the banking system. ⑵ Meanwhile, the usage of the overnight deposit facility surged to around 1.998 billion euros, up from approximately 1.966 billion euros the previous day. The continued large-scale deposits highlight the high degree of liquidity within the euro system, with banks preferring to deposit excess funds with the central bank rather than engage in interbank lending or extend credit. ⑶ The current account holdings are about 330.6 billion euros, slightly higher than the previous day's approximately 328.3 billion euros. Taken together, the three sets of data indicate that there has been no substantial change in the excess liquidity situation on the European Central Bank's balance sheet. Market expectations for short-term funding costs remain stable, also suggesting that banks continue to behave conservatively within the policy transmission mechanism.
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