The Provincial Money Market Purchase (PMMP) program is an asset purchase facility that acquires provincially-issued money market securities through the primary issuance market. This program supports a liquid and well-functioning market for short-term provincial borrowing.
Under the PMMP, the Bank will purchase up to 10 percent of each accepted offering of directly-issued provincial money market securities through the primary issuance market. The 10 percent limit may be adjusted if market conditions warrant.
All Canadian provinces.
Directly-issued provincial money market securities with terms to maturity of 12 months or less will be eligible for purchase. This includes treasury bills and short-term promissory notes.
An indemnity agreement with the Government of Canada was entered into to address market fluctuations resulting from the Bank’s operations under this program.
The Bank reports its aggregate holdings of provincial money market securities acquired through the PMMP program every Friday on the Bank’s weekly balance sheet. The first results of this program are reported on March 25, 2020.