Monetary policy glossary



national central bank (NCB)
A central bank of an EU Member State.
national central bank (NCB)
NCB business day
Any day on which the national central bank of a specific Member State is open for the purpose of conducting Eurosystem monetary policy operations. In some Member States, branches of the national central bank may be closed on NCB business days owing to local or regional bank holidays. In such cases, the relevant national central bank is responsible for informing the counterparties in advance of the arrangements to be made for transactions involving those branches.
neutrality of money
A basic economic principle stating that in the long run changes in the money supply only lead to changes in nominal variables but not in real variables. Changes in the money supply will therefore have no long-term effect on variables such as real output, unemployment or real interest rates.
nominal effective exchange rate (EER) of the euro
Nominal euro EERs are weighted averages of bilateral euro exchange rates against the currencies of the euro area's main trading partners. The ECB publishes nominal EER indices for the euro against the currencies of a narrow and a broad group of trading partners. The weights used reflect the share of each partner country in euro area trade. See also
effective exchange rate (EER) of the euro
real effective exchange rate (EER) of the euro
non-standard measures
Measures taken by the ECB to support the effectiveness and transmission of interest rate decisions to the wider euro area economy in the context of a dysfunctional situation in some financial market segments and the financial system more broadly.