Which facility allows banks to borrow from the ECB at a fixed rate?
Main Refinancing Operations
Marginal Lending Facility
Deposit Facility
Euribor
Answer
The Main Refinancing Operations (MRO) is a facility provided by the European Central Bank that allows banks to borrow funds at a fixed rate. MROs are the primary tool used by the ECB to provide liquidity to the banking system and to implement its monetary policy.
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