Ten years ago, the Bank only dealt in Commonwealth Government securities, but in response to the diminished supply of these securities and in recognition of growing markets in other securities, the Bank over the years has added semi-government securities, bonds issued by international organisations and Australian bank bills to the list of securities in which it is prepared to deal.
International practice by central banks in this regard is quite varied: some central banks take a narrower range of securities than the Reserve Bank; others take a broader range. There has, however, been a general tendency over the years for central banks to widen the range of securities in which they are prepared to deal.