Significant net fiscal injections along with sluggish credit demand continue to influence the build-up of liquidity in the financial system and helping to suppress interest rates. Commercial banks’ excess reserves peaked at $ billion in March 2012, but fell steadily thereafter following Central Bank action, reaching a daily average of $ billion in June 2012.
Since then, continued fiscal injections have steered excess liquidity back on an  4  BIS central bankers’ speeches  upward trend. Towards the end of September 2012, excess reserves reached a daily average of $ billion.