o  This was particularly the case in the euro area. The ECB’s response to the pandemic had a dual aim. First and foremost, protecting the monetary policy transmission mechanism by containing spreads and risk premia. And second, mitigating the economic impact for the euro area of the outbreak and escalating diffusion of the coronavirus.
Equally important is a sound and stable financial system  particularly the banking sub-sector, as it serves as the main transmission channel for monetary policy signals and facilitating economic activity through the provision of liquidity and risk mitigation. It is also apparent to the markets and general public that the key instruments of policy are the Bank Rate and the Bank of Botswana Certificates.