In addition, Danmarks Nationalbank has made a number of adjustments to its range of instruments to match market conditions, and credit institutions have been offered extended credit facilities at Danmarks Nationalbank. The latest addition – the option to raise 3-year loans – has given credit institutions an extra source of long-term funding.
In many ways, these options match those provided by the ECB for European banks. The ECB’s 3-year loans have been in high demand. 800 European banks participated in the most recent operation. The first 3-year operation in Denmark will take place tomorrow. The second operation will be in September, and I think it would be wise to consider the two operations overall.