ECB confirms remuneration ceiling for euro area government deposits and adjusts remuneration of other non-monetary policy deposits

On 16 April 2024 the Governing Council of the European Central Bank (ECB) decided to adopt a single legal act setting out a uniform remuneration rate for non-monetary policy deposits held with the Eurosystem. This rate will be set at the €STR minus a spread of 20 basis points. The rate will also continue to apply as a ceiling for remunerating euro area government overnight deposits. As most overnight deposits held with national central banks under the Eurosystem reserve management services (ERMS) framework have already been remunerated at the €STR minus a spread of 20 basis points, only a limited amount of remaining overnight deposits under the ERMS will be aligned to the new uniform rate.