However, banks often decided to hold on to about one fifth of excess reserves which they placed in the deposit facility that pays a lower rate of remuneration, so that the short-term rate remained stuck to the floor of the corridor (Slide 9).
Briefly, I would like to focus on the importance of promoting a strong economy that extends opportunity to all and on the role our community development staff plays to advance that goal. The Federal Reserve’s mission is to promote a strong economy and sound financial system; I am glad to say we have made a great deal of progress toward those goals.