Call rate gains ground, dollar unchanged
Thursday, 25 September 2008
FE Report
The inter-bank call money rate gained ground Wednesday despite injection of fresh cash through reverse repurchase agreement (repo). US dollar, on the other hand, remained unchanged against Bangladesh taka (BDT) in the inter-bank foreign exchange market due to sufficient supply of the greenback, fund managers said.
The call rate mainly moved between 7.75 per cent and 12.00 per cent against the previous day's range between 7.00 per cent and 13.00 per cent.
Most transactions were, however, made at rates varying between 8.00 per cent and 9.00 per cent against the previous day's range between 7.50 per cent and 10.00 per cent indicating a steady pressure on liquidity.
The call rate, however, moved above the normal level in stray deals with the borrowing of cash by some banks and financial institutions from the inter-bank market at high rates to meet urgent needs of their clients, fund managers said.
The central bank, on the other hand, injected fresh cash of Tk 8.58 billion through repurchase agreement (repo) at an annual interest rate of 8.75 per cent to provide liquidity support.
Dollar maintained a steady level against taka and the exchange rate of the greenback moved between Tk 68.51 and Tk 68.52 coinciding with the previous trading day's range in the inter-bank market.
Dollar was also unchanged in public deals and cash dollar was transacted at rates varying between Tk 67.42 and Tk 69.80 maintaining the previous trading day's range.
In the informal market, dollar was mostly steady and it was traded at rates mainly varying between Tk 70.00 and Tk 70.30 against the previous day's range between Tk 70.00 and Tk 70.25. The informal market experienced a slightly higher demand for the foreign currency on the day, money dealers said.
The inter-bank call money rate gained ground Wednesday despite injection of fresh cash through reverse repurchase agreement (repo). US dollar, on the other hand, remained unchanged against Bangladesh taka (BDT) in the inter-bank foreign exchange market due to sufficient supply of the greenback, fund managers said.
The call rate mainly moved between 7.75 per cent and 12.00 per cent against the previous day's range between 7.00 per cent and 13.00 per cent.
Most transactions were, however, made at rates varying between 8.00 per cent and 9.00 per cent against the previous day's range between 7.50 per cent and 10.00 per cent indicating a steady pressure on liquidity.
The call rate, however, moved above the normal level in stray deals with the borrowing of cash by some banks and financial institutions from the inter-bank market at high rates to meet urgent needs of their clients, fund managers said.
The central bank, on the other hand, injected fresh cash of Tk 8.58 billion through repurchase agreement (repo) at an annual interest rate of 8.75 per cent to provide liquidity support.
Dollar maintained a steady level against taka and the exchange rate of the greenback moved between Tk 68.51 and Tk 68.52 coinciding with the previous trading day's range in the inter-bank market.
Dollar was also unchanged in public deals and cash dollar was transacted at rates varying between Tk 67.42 and Tk 69.80 maintaining the previous trading day's range.
In the informal market, dollar was mostly steady and it was traded at rates mainly varying between Tk 70.00 and Tk 70.30 against the previous day's range between Tk 70.00 and Tk 70.25. The informal market experienced a slightly higher demand for the foreign currency on the day, money dealers said.