... particularinterbank market is set up. There are two types of agents in the market, the central bank onone hand and commercial banks on the other hand. The key ingredients of the model are the 7 The very ... at 2 1/6 /2 000, 3 0/4 /2 001, 12 and 1 3/9 /2 001, 2 8/1 1/2 001, 4 and 1 0/1 /2 002, 1 8/1 2/2 002 and 2 3/0 5/2 003. Long term re financing op erationsare structural measures and usually constant throughout the ... of the interbank market are crucial for understanding the behavior of the interbank rate. So the supply side of the model closely matches the actual structure of the liquidity management in the...