Demand at CBA deposit auction exceeds supply by almost 5 times

By Trend

The Central Bank of Azerbaijan (CBA) received 150 million manats from banks at a deposit auction on May 13, Trendreports referring to the CBA.

The bank noted that the demand at the auction amounted to 739.3 million manats. The weighted average interest rate on deposit transactions concluded within the auction was 6.76 percent.

The maturity period is 14 days.

The CBA has started to hold deposit auctions since mid-June 2016.

Deposit auction is a tender in which the Central Bank attracts deposits from commercial banks. The main purpose of such auctions is the sterilization of money supply.

(1 USD = 1.7 AZN on May 13)