These dealers maintained the liquid secondary market for Treasuries and served as counterparties for open market operations. This state of affairs continued until 1970, when the Treasury introduced auction offerings of coupon-bearing debt. Auction participation, like market making, was a risky, capital-intensive activity, and dealers – especially primary dealers – began to play an increasingly important role in the primary market. Though the transition was gradual, this period represented the moment in history when the same set of counterparties began to participate in both open market operations and the primary issuance of Treasury securities. Recent changes More recently, the Federal Reserve’s approach to designing an effective counterparty framework has been informed by our experience of conducting asset purchases as well as other balance sheet actions and exercises necessary to implement policy in the post-crisis period. In these years, we have ventured beyond the primary dealers to conduct open market operations with a wider and more diverse range of market participants. The introduction of daily reverse repurchase agreement (RRP) test operations in September 2013 required several years of work by the Desk to establish relationships with an expanded set of counterparties beyond the primary dealers or entity types that are currently eligible to be primary dealers, and to develop an approach to evaluating the capabilities of these firms that is distinct from the process for assessing primary dealers.
The significant increase in the share of OIC member states in our exports might be, at first sight, attributed only to the economic slowdown in the European Union. However, related figures indicate that the share of OIC members in Turkey’s exports had already increased from 13% to 19% between 2000 and 2007 before the start of the global financial crisis. Besides, visa exemptions probably played an important role in the recent improvement in Turkey’s trade with the region’s countries. Distinguished Guests, Regional collaborations have made a significant contribution to the increase in the volume of intra-emerging markets trade. Although tradable products can be transported to markets of any distance owing to advancements in transportation infrastructure and technology worldwide, distance is no less important than it was previously. Due to increased competition among countries, factors such as distance and transportation costs continued to be among the leading determinants of competitiveness. Various academic studies also confirm that the distance elasticity of trade is on the rise. As it is known, complementary value added chains have been formed particularly among Asian countries, and having benefited from the proximity of neighbor countries and their individual advantages in different fields, these countries have experienced a high-speed development process through regional cooperation, where low-costs-for-all have boosted the competitiveness of all economies in the region.