On 5 August the Riksbank offers new SEK loans against commercial paper (84 and 168 days)

In order to improve the supply of loans to the corporate sector, on 28 October the Riksbank decided to set up a temporary credit facility with commercial paper as collateral. The loans were provided in an auction procedure and their lifetime was three months. On the 13 February 2009, the Riksbank announced that in the future the loans will be offered with a variable interest rate and at longer maturities. The twentyfirst and twentysecond credit under the new programme will be provided in an auction held on 5 August and will comprise SEK 25 billion in each credit. The loans will be provided against commercial paper as collateral and the period to maturity is 84 and 168 days respectively, which means that the loans will fall due on 3 November 2009 and 26 January 2010. The minimum interest rate will correspond to the average repo rate during the maturity of the loan with a supplement of 0.20 percentage points. A monetary policy counterparty that wants to participate in the auction of 5 August must register the commercial paper programmes the counterparty intends to use no later than 15.00 hours on Friday 31 July. Notification of participation in the programme is to be made no later than 10.00 hours on 5 August if no such notification has been submitted previously. Payment date is Tuesday 11 August. More information about the procedure and the terms for the credit facility will be found on the Riksbank’s website, www.riksbank.se.