Yield Curve Control (YCC)

YCC is the Yield Curve Control is also called the interest rate pegs in which the yields bond are set by thye central banks. This is also consider as the type of the uncoventional monetary policy. In this Central Banks targets is an interest rate at the specific maturity.A central bank is trying to send the message it is guaranteeing that it will buy as many bonds as it takes to ensure borrowing costs do not rise.