13 March 2024
The European Central Bank's announcement of a new operational framework for monetary policy implementation does not create any need to adjust how Danmarks Nationalbank implements the fixed exchange rate policy in Denmark
The European Central Bank, ECB, has today announced adjustments to its operational framework for the implementation of monetary policy. ECB's adjustments do not create a need to adjust how Danmarks Nationalbank implements the fixed exchange rate policy in Denmark.
Danmarks Nationalbank ensures the efficient implementation of the fixed exchange rate policy on an ongoing basis. Danmarks Nationalbank last carried out a technical adjustment to its monetary policy instruments in March 2021.
Background
The adjustments to the ECB's operational framework are the result of a review by the Governing Council of the ECB, which was announced in December 2022. The review aimed to ensure the continued effective implementation of monetary policy in light of the normalisation of the ECB's balance sheet, in particular the continued effective steering of short-term money market interest rates in the euro area.
In a forthcoming analysis, Danmarks Nationalbank will explore the interaction between the adjustments in the ECB's operational framework and Danmarks Nationalbank's implementation of the fixed exchange rate policy.
Further information on the ECB's announced changes to its operational framework is available on the ECB's website.
Enquiries can be directed to press advisor Peter Levring on tel. +45 3363 6383.