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The following are partial balance sheets for the Bank of Canada and the 14 LVTS Participants BANK OF CANADA 14 LVTS Participants / Primary Dealers

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The following are partial balance sheets for the Bank of Canada and the 14 LVTS Participants BANK OF CANADA 14 LVTS Participants / Primary Dealers Consolidated Assets (5) Liabilities (8) Assets(586) Liabilities (58) Seourites 1200LVTS Participant's 100 LVTS Participant's 100 Deposits 250 Settiment Balance Settlement Balances Government Deposit 150 SPRA OSRA OSRA OSPRA Advances to 300Goverment of 550 Securities 250 Advances from Bank 300 LVTS Canada Deposits of Canada Participants Currency in Circulation 900 Loans 325 Capital 70 What type of pressure is there on the overnight-rate (.)? none sideways upward downward the BOC wants to relieve this undesired pressure on the overnight i-rate (a) by neutralizing the settlement balance using Government of Canada accounts, wil move Government deposits from BOC to LVTS deposits from LVTS Participants to foreign reserve deposits from BOC to LVTS foreign reserve deposits from LVTS Participants to Participants BOC Participants BOC As a result of the BOC action to relieve this undesired pressure on the overnight i-rate for what are the final changes to the BOC and 14 LVTS Partopanta balance sheet? BANK OF CANADA Assets (56) 14 LVTS Participants / Primary Dealers Consolidated Assets 585) Liabilities (58) LVTS Participant's Setlement Balances Government Deposits SPRA Liabilities (585) LVTS Participant's Settlement Balances Securities . . Deposits = SPRA SRA SRA . . . . Securities Advances to LVTS Participants dvances from Bank of Canada Government of Canada Deposits Currency in Circulation Loans Capital The following are partial balance sheets for the Bank of Canada and the 14 LVTS Participants BANK OF CANADA 14 LVTS Participants / Primary Dealers Consolidated Assets (5) Liabilities (8) Assets(586) Liabilities (58) Seourites 1200LVTS Participant's 100 LVTS Participant's 100 Deposits 250 Settiment Balance Settlement Balances Government Deposit 150 SPRA OSRA OSRA OSPRA Advances to 300Goverment of 550 Securities 250 Advances from Bank 300 LVTS Canada Deposits of Canada Participants Currency in Circulation 900 Loans 325 Capital 70 What type of pressure is there on the overnight-rate (.)? none sideways upward downward the BOC wants to relieve this undesired pressure on the overnight i-rate (a) by neutralizing the settlement balance using Government of Canada accounts, wil move Government deposits from BOC to LVTS deposits from LVTS Participants to foreign reserve deposits from BOC to LVTS foreign reserve deposits from LVTS Participants to Participants BOC Participants BOC As a result of the BOC action to relieve this undesired pressure on the overnight i-rate for what are the final changes to the BOC and 14 LVTS Partopanta balance sheet? BANK OF CANADA Assets (56) 14 LVTS Participants / Primary Dealers Consolidated Assets 585) Liabilities (58) LVTS Participant's Setlement Balances Government Deposits SPRA Liabilities (585) LVTS Participant's Settlement Balances Securities . . Deposits = SPRA SRA SRA . . . . Securities Advances to LVTS Participants dvances from Bank of Canada Government of Canada Deposits Currency in Circulation Loans Capital

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