Consultation on SWESTR

The Central Bank of Sweden, Riksbank has launched a consultation as regards proposed modification to the publication time of the SWESTR, the Swedish krona Short Term Rate, the proposed additional publication of daily rate variances, and proposed modifications to the content of the quarterly report issued by Riksbank on the SWESTR. The Swedish krona Short Term Rate is an overnight index rate „based on transactions in Swedish kronor made on the money market“. Specifically, Riksbank proposes to
1. modify the timing of the publication of the SWESTR as follows:
Table 2 – Proposed publication times

Currently, the SWESTR is published at 11:00 a.m. and 11:05 a.m. Central European Time (CET), respectively with corrected versions being published at 2:00 p.m. and 2:05 p.m., respectively. This modification is intended to support financial market participants in their management of financial contracts and instruments referenceing the SWESTR.
2. additionally publish, on a daily basis, the variances in the rates in the overnight transactions to increase transparency over the input data. The Riksbank thereby proposes to publish the following information:
Table 7 – Information that is intended to be provided after the proposed amendment

Currently, Riksbank only publishes the number of transactions, the total transaction volume, and the number of contributing parties.
3. regularly provide in Riksbank’s quarterly report information on the composition of the SWESTR transaction dataset by providing a breakdown of the transaction volume by
– counterparty (banks, non-financial companies, and the National Debt Office, and financial companies) and
– size category.