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ECB to begin implementing enhanced EUREP repo facility for central banks

The enhanced facility will be open to central banks outside the euro area, with onboarding completed so they can draw funds starting Q4 2026.

Reported · Written up by our desk · Central Banks

The European Central Bank decided on the operational features and onboarding steps for its enhanced EUREP repo facility, first announced on 14 February.

The new facility is designed to support the smooth transmission of monetary policy and strengthen the euro’s international role, with operations carried out by five national central banks under ECB coordination.

Onboarded central banks will receive euro liquidity through loans against high-quality euro-denominated collateral, priced at the ECB’s main refinancing operations rate plus a spread set by the Governing Council. Transaction maturities will run from one day to one week, with possible extensions, and each central bank’s maximum line size is set at EUR 50 billion.

After completing onboarding, central banks will be able to draw from the facility starting Q4 2026, and the ECB will publish the total daily liquidity provided under EUREP and swap lines each week, according to the ECB.

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