Changes in “Regulation on the Access of Banks to Borrowing and Deposit Facilities in Norges Bank etc.”

On 15 December 2010, Norges Bank’s Executive Board resolved to amend the “Regulation on the Access of Banks to Borrowing and Deposit Facilities in Norges Bank etc.”

The wording of Sections 1-3 and 5-12 is as before. The interest rates for sight deposits and D-loans are discussed in Section 4, which currently reads as follows:

§ 4. Interest rate and calculation of interest on sight deposits and D-loans

Norges Bank sets the interest rate on sight deposits and D-loans. 

The rate of interest on sight deposits and D-loans is calculated daily in arrears. Interest is calculated on the basis of calendar days. Interest is calculated for 365 days per year.

The interest on D-loans is charged to the bank’s account on the first settlement day after the loan is raised. If the first day and any subsequent days in a month is/are not (a) banking day(s), the interest for the said day(s) will be charged on the second settlement day in the new month.

Interest on deposits is credited to the bank’s account on the first settlement day after the deposit is placed with Norges Bank. If the first day and any subsequent days in a month is/are not (a) banking day(s), the interest for the said day(s) will be paid out on the second banking day in this month.

New wording of Section 4 (change in italics):

Norges Bank sets the interest rate on sight deposits and D-loans. The rate of interest on sight deposits may be varied in accordance with the terms and procedures established by Norges Bank.

Interest on deposits is credited to or debited from, as appropriate, the bank’s account on the first settlement day after the deposit is placed with Norges Bank. If the first day and any subsequent days in a month is/are not (a) banking day(s), the interest for the said day(s) will be paid out or debited, as appropriate, on the second banking day in this month.

The remainder of Section 4 is unchanged.

Published 15 December 2010 13:30