BANCO DE LA REPÚBLICA
As with any central bank, the Banco de la República plays the role of banker of banks. On one hand, it is the depository of the money allocated in fulfilment of the bank reserve requirements, which serve to regulate the credit-issuing capacity of the banking system. This reserve, maintained under the tightest security, backs the liquidity of the banking system. On the other hand, as was mentioned previously, the Banco de la República acts as last resort lender to credit institutions in the event of a temporary lack of liquidity caused by the massive withdrawal of deposits..
However, in addition, the Banco de la República has made important contributions to the payment system and infrastructure of Colombia’s financial sector and to achieving the legal mandate of ensuring the normal functioning of internal and external payments. Of these, the most relevant to the objectives of contributing to the efficiency of productive apparatus, stability of the financial system and channelling of monetary policy indicators in money markets, is the money transfer service and the register of operations between financial intermediaries, of the values market amongst others, by electronic means in real time by means of the high denomination value payments system DA (“Deposit account system”).
p>Furthermore, the Bank manages the “interbank compensation chamber for cheques”, the interbank compensation chamber for low value electronic payments, the Central Values Deposit (DCV) de-materialised public debt deeds are kept and managed, and the electronic negotiation system (ENS) with public debt deeds.