Fixed Income Chart Of The Day: That's not fair!

研报英文原文证据摘录

Fixed Income Chart Of The Day: That's not fair!

Deutsche Bank

Research

Rates Date

Fixed Income Chart Of The Day 1 July 2026

That's not fair!

Soniya Sadeesh

According to a press report, the ECB is reviewing minimum reserve requirements Strategist

and could increase the ratio from 1 to 2 percentage points in “the autumn”. +44-20-754-73091

This seems unlikely to us, and today’s FICOTD shows why. The distribution of Francis Yared

reserves across the Eurozone is uneven, and as a result the impact of raising Strategist

requirements varies significantly across countries. Currently, reserve +44-20-754-54017

requirements are around €174bn, which is about 8% of excess liquidity. As can

Markus Heider

be seen, the likes of Italy, Portugal, Spain and Greece would see a much larger Macro Strategist

relative impact, with less room to absorb any increase in requirements. By +44-20-754-52167

definition, this would also reduce excess liquidity by the same amount,

contributing to aggregate conditions as well. Ioannis Sokos

Strategist

There was little reason to argue in favour of increasing the ratio prior to the report, +44-20-754-75680

the timing of which may be related to a review of the operational framework which Gabriele Cozzi

is pencilled in for 2026. Strategist

+44-20-754-17714

Changing the minimum requirement was debated in 2023 (it had been 2% before

2011), but instead the ECB cut the remuneration rate to zero (from DFR). Small Mingyue Xin

change, but that in turn did lead to an observable impact on month ends, as a way Strategist

+44-20-754-10002 to manage exposures.

Banks that do not have existing excess liquidity buffers would need to raise the Matthew Raskin

liquidity. Funding options include repo/commercial paper issuance, using the +1-212-250-1741