Most banks in Denmark, including all the major banks and mortgage credit institutions, hold accounts with Danmarks Nationalbank in the same way that private individuals hold accounts with retail banks. In other words, Danmarks Nationalbank serves as banker to the banks for payments in Danish kroner, where TARGET DKK functions as the banks’ online bank.
Participation in TARGET DKK
There are three ways to participate in TARGET Services. One can participate directly and have full access to the system. One can be what is called a co-managee, where instead of having direct access to the systems, one participates via another bank that is a direct participant. This means that the co-managee delegates its payments to their co-manager, but still has a folio account with the National Bank.
Finally, one can be an indirect participant through a direct participant. If one is an indirect participant, one does not have an account with the National Bank.
Citizens and companies do not have direct access to accounts in the National Bank and therefore cannot participate in TARGET DKK, either directly or indirectly.
The average number of transactions per banking day in the Nationalbanks RTGS system has been steadily increasing in recent years.
When measured by value, customer payments represent a growing proportion of the average interbank payments carried out in the Nationalbanks RTGS system.
Banks can participate either directly or indirectly in Kronos2. Citizens and businesses cannot participate.
Information for TARGET DKK participants
All current account holders at Danmarks Nationalbank must participate in TARGET DKK. The rules and regulations for the account holders are set out in the terms and conditions for accounts.
System Opening Hours
TARGET DKK is open for payments on all Danish banking days from 7:00 AM to 5:00 PM. The new monetary policy day opens at 7:30 PM, when it becomes possible for participants to conduct liquidity transfers.
Prices
According to Danmarks Nationalbank’s price policy for TARGET DKK, Danmarks Nationalbank passes on its external costs etc. for running TARGET DKK to the participants, while Danmarks Nationalbank bears its internal costs.
Guidelines and forms
Guidelines for TARGET DKK can be found on Danmarks Nationalbank’s extranet on Microsoft Teams.
User Administration
The National Bank's administration of users in TARGET DKK is partially centralized. This means that the creation of Administrator users goes through the National Bank's user administration, but it is the banks' own responsibility to manage daily users.