Uncertainty in the Money supply mechanism and interbank markets in Colombia

Número: 
790
Publicado: 
Clasificación JEL: 
E44, E52, G21
Palabras clave: 
Interbank Market; Overnight Rates; Reserve Demand

We set a dynamic stochastic model for the interbank daily market forfunds in Colombia. The framework features exogenous reserve requirements and requirement period, competitive trading among heterogeneouscommercial banks, daily open market operations held