A deal was finally reached in June 1998 on the restructuring of interbank debt, corporate debt and trade credits.

A bank that that did not need the additional reserves could of course lend them to another bank that did, earning interest at the federal funds rate on that interbank loan. Essentially all of the increased reserves ended up being used to support increased commercial lending.

As the huge buildup of dollar reserves now almost 800 billion expands China s domestic monetary base, short term interest rates will be driven down, at least until they hit zero. In May 2006, the fairly free domestic interbank rate was just 1.62 , while the US Federal Funds rate was 5 .

As the huge buildup of dollar reserves now almost 800 billion expands China s domestic monetary base, short term interest rates will be driven down, at least until they hit zero. In May 2006, the fairly free domestic interbank rate was just 1.62 , while the US Federal Funds rate was 5 .

Electronic systems have been upgraded and integrated for use for the Headquarters overseas bank accounts utilizing the SWIFT (Society for Worldwide Interbank Financial Telecommunication) network.

Fundline includes portfolio investment funds, private equity funds and companies, venture capital funds, mutual funds and other equity vehicles.

The Central Bank of Cuba is experiencing the same problems it has faced in previous years using the SWIFT (Society for Worldwide Interbank Financial Telecommunication) communications network.

The package was then large enough to provide complete cover for maturing debt obligations (as interbank debt was rolled over), and the crisis could therefore be overcome.

Operating Funds UNDP and UNDP Trust Funds

b Including UNDP administered funds and trust funds.

As foreign firms exporting to China accepted payment in renminbi, the currency piled up in their bank accounts in Hong Kong. That led to the next step Foreign firms wishing to invest in China were allowed to tap those deposits by issuing renminbi denominated bonds, and eligible offshore financial institutions were permitted to invest renminbi funds in China s interbank bond market.

In theory, such banks should be immune to runs, because the interbank market is supposed to be extremely efficient, and risk would be shifted to investors willing to bear it. Deposits would be replaced by mutual funds, which, as we know, are also immune to runs, and the risk of structured investment vehicles (SIV s) would be assessed accurately by rating agencies.

Funds

Funds ( )

c Includes funds managed by UNDP and UNDP supplementary funds.

Funds mobilization

Funds transfers

Trust funds

Trust funds

General funds

Extrabudgetary Funds

Revolving funds

(d) Funds.

Special Funds

c Including JPOs, funds managed by UNDP and UNDP supplementary funds.

A total of 52 trust funds and 49 sub trust funds were established during the biennium 1996 1997, whereas 12 trust funds and 9 sub trust funds were closed.

These are based on the estimated volume of banking transactions and reflect the anticipated savings of 150,000 owing to United Nations participation in the Society for Worldwide Interbank Financial Telecommunication (SWIFT) system.

XV. Trust funds

(d) Sufficient funds.

(s) Trust funds.

Custody of funds

Investment of funds

Source of funds

Agency emergency funds

Funds monitoring tool

Trust funds established

Core funds subtotal

Availability of funds

Non earmarked funds

Logistics Base funds

B. Trust funds

B. Trust funds

III. Funds available

Domestic pension funds

Add funds received