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LatinNews Daily - 15 November 2019

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In brief: Chile central bank adopts further measures to ensure liquidity

* Chile’s central bank (BCCh) has announced yet more measures to ensure the liquidity of the domestic financial system as the value of the Chilean peso continues to fall in the face of social unrest. These measures complement the injection of up to US$4bn into the financial system announced the previous day. The five new measures listed by the BCCh are: the temporary suspension of the emission of discountable promissory notes (PDBCs); the increase in the frequency and term of repurchase agreement (Repo) operations; the inclusion of deposits and bank bonds as guarantees for Repo and liquidity facility operations; an increase in the frequency of currency swap auctions; and the option to repurchase BCCh securities for operators on the open market operations system (Soma). The BCCh notes that these adjustments aim to “increase the effectiveness of planned operations in local and foreign currency, to facilitate the management of the local financial system’s liquidity”