A consequence of this is a greater activism of central banks in liquidity management. •  Fourth, the greater activism through indirect instruments led to a more intensive use of open market operations (OMO) through flexible instruments like repo.
The OMO can be used for net injection or absorption of liquidity and can be resorted to irrespective of whether the operating target works through the rate channel or quantity channel. •  Fifth, the market environment has induced many central banks to focus more on the interest rates rather than bank reserves in trying to influence liquidity.