Through this new operation, the Bank can set, when necessary, an upper limit on interest rates more powerfully than before. On the other hand, when interest rates temporarily fall below the lower limit in day-to-day movements, the Bank will not strictly respond to such developments because they will not impair the effects of monetary easing.
For this reason, the ECB has had to identify the most effective policy tools for repairing these disruptions, while remaining within its mandate. Financial integration is clearly in the interests of the market and it is strongly supported by the post-trade harmonisation initiatives that are taking place within the EU at the legislative, operational and business levels.