€5bn liquidity cut at Central Bank
THE Central Bank's emergency liquidity programme shrank by almost €5bn in October and is now at its lowest level in close to a year.
The significant fall was revealed in the bank's latest financial statement, and comes three years after the bank first began extending 'emergency liquidity assistance' (ELA).
The support enables banks to get cash from the Central Bank of Ireland (CBI) when they've run out of high quality collateral to pledge with the European Central Bank (ECB).
Ireland's ELA programme is the longest running in the history of the eurozone and the ECB has been keen to unwind it -- the October figures mark the first significant step towards this.
ELA is now running at about €47bn, down from about €5bn from the September tally and down more than €20bn on the record levels in February.
The reduction is largely linked to Irish Bank Resolution Corporation (formerly Anglo), which has begun receiving multi-billion payments for the $9.5bn (€6.8bn) US loan book.