17 [19]  Diagram 8. The Riksbank’s repo rate Per cent  Note. Unbroken line refers to outcome, broken line represents the Riksbank’s forecast. Outcomes are daily rates and forecasts are quarterly averages. Source: The Riksbank. Tabell 2. Overview of the effects of policy rate raises and QT, respectively Raises in the policy rate  Interest rates  Demand  Exchange rate  Higher short-term rates  Higher financing costs for households and companies with variable loan rates  Stronger  Lower demand for consumption via  higher savings  cash flow effects Lower investment demand Broader impact QT  Somewhat higher long-term rates  Higher financing costs for some companies  Moderate rise in spreads for corporate and mortgage bonds  Higher financing costs for banks’ mortgage loans  Stronger  Moderate reduction in consumption and investment Narrower impact Source: The Riksbank. 18 [19]  Diagram 9. Riksbank's asset holdings declining through maturities from 2023 – no purchases beyond 2022 Nominal amounts, SEK billion 1 000 800 600 400  200 0 2015  2018  2021  2024  2027  2030  2033  Total assets, bonds in SEK  Technical projection  Note. Quarterly data. The figure shows a technical projection of the Riksbank's total asset holdings if no reinvestments are made after 2022. Source: The Riksbank. Diagram 10.
Institutional responsibilities are divided between the Malta Financial Services Centre, which is responsible for the regulation and supervision of banking, insurance and investment services; and the Central Bank, which is charged with ensuring the stability of the system as a whole. The Central Bank is also responsible for the domestic payments system, which is being upgraded in line with developments in the euro area. BIS Review 46/2002  3  2  According to a recent background paper prepared by the European Central Bank(ECB) , Malta already has a domestic financial intermediation mechanism that broadly mirrors the composition of different financial market segments in the euro area member states. While there has been considerable growth of non-bank financial intermediaries and development in the money and capital markets, the banks remain the key financial institutions. Total bank assets amount to more than double GDP, whereas the ratio of domestic credit to GDP is broadly in line with the EU average. More importantly, the banking system is generally healthy, enjoying ample liquidity and a broad capital base, with the ratio between own funds and risk-weighted assets standing close to 14% in March of this year. Although there are concerns about the quality of loan portfolios after a recent period of rapid credit expansion, the banks have reinforced their capacity to assess and contain risk. In this regard, the sale of one of Malta’s two large banks to a major foreign banking group in 1999 was particularly important.