Bank of England Deputy Governor Sarah Breeden has expressed the need to change the negative perception surrounding central bank liquidity facilities. During a speech in Washington, she emphasized that viewing these facilities solely as crisis management tools could hinder their effectiveness when banks actually need to use them.
Breeden's comments reflect a growing concern within the financial community about banks' reluctance to access these resources in times of need. S&P Global Ratings has also highlighted the importance of reshaping market perceptions to ensure that these facilities are seen as viable options for maintaining liquidity, rather than as a last resort.