BIS Review 138/2007  1  Money market problems and central bank responses I would like to turn now and talk about how central banks have reacted to these developments and what impact this has had. Within their sphere of influence, central banks, in general, responded in an unprecedented manner to counteract disorderly conditions in money markets.
In particular, the ECB, along with other major central banks moved quickly to meet the increased liquidity needs of the banking system and liquidity management policies since August have been very much focused on, first, restoring, and, then, maintaining calm in money markets.