Since our September 2014 monetary policy decisions, the MRO rate has been fixed at 5 basis points, the marginal lending rate at 30 basis points, and the deposit facility rate at minus 20 basis points. Under normal circumstances, the so-called “policy rate” of macroeconomic models would correspond to our MRO rate.
This is the rate that typically relates to the rate on private interbank transactions on the overnight market, the EONIA rate. However, in an environment of excess liquidity and persistent frictions in financial markets, as we see today, it is no longer possible to define our stance by a unique “main” policy rate.