PRESS RELEASE
Bank of Albania interventions in the money market and foreign exchange market over 2023 Q4

1.1. Open market operations and factors affecting liquidity shortage in the banking system

In 2023 Q4, the Bank of Albania intervened in the money market through the open market operations to inject liquidity.

Average daily injections through liquidity injecting operations with maturity 1-13 weeks has decreased at ALL 47.70 billion on average, against the record of ALL 54.20 billion in the previous quarter, and ALL 44.65 billion on average in the first six months of 2023. Shortage reached its maximum levels above ALL 60 billion in October, while trending downwards at the beginning of November. At the end of December, the shortage amounted around ALL 40 billion. The liquidity shortage fell as liquidity in the Government’s account declined by around ALL 23.5 billion. Out of ALL 13.7 billion drove the shortage coming down, while ALL 9.8 billion was the maturity effect of SWAP agreements.

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