Deposits at ECB hit high

Use of the European Central Bank's overnight deposit facility hit an all-time high on Tuesday as euro area banks increased the amount of cash they park at the central bank's safe haven

Wednesday 28 December 2011 at 15:12

Use of the European Central Bank's overnight deposit facility hit the second all-time high in a row on Tuesday as euro area banks increased the amount of cash they park at the central bank's safe haven, ECB data showed today.

Banks parked €452.034bn at the ECB, up from €411.813bn the previous day. The high level reflects prevailing distrust among banks which prefer using the ECB's facility rather than lending to each other.