The NBS Head Office Building was built from 1888 – 1890, on the basis of blueprints designed by Konstantin Jovanovic (Vienna 1849 – Zurich 1923), son to distinguished artist Anastas Jovanovic...
The NBS implements open market operations by the purchase and sale of securities in order to regulate banking sector liquidity, influence movements in short-term interest rates and signal the monetary policy stance.
Depending on their objectives, dynamics and manner of implementation, open market operations of the NBS may be classified into:
Main operations play the most important role in terms of achieving the objectives of open market operations. They are reverse repo transactions – repo sale of securities, with the maturity of one-week. The NBS implements the main operations with a regular frequency, at standard auctions held according to a pre-determined calendar. These operations are conducted at the NBS key policy rate.
Longer-term operations aim to provide liquidity to the banking sector and/or absorb excess liquidity in the longer run. They are implemented at standard auctions.
Fine-tuning operations are implemented on as needed basis, to prevent or ease swings in banking sector liquidity, and particularly their effect on short-term interest rates. As a rule, they are conducted at quick auctions, i.e. on the day a decision is made to hold an auction.