Demand for Azerbaijani Central Bank’s notes greatly exceeds supply
BAKU, Azerbaijan, Jan. 17
By Eldar Janashvili - Trend:
Baku Stock Exchange (BSE) held an auction for placement of the short-term notes with circulation period of 168 days of the Central Bank of Azerbaijan (CBA) worth 50 million manat ($29.4 million) on Jan. 17, Trend reports referring to BSE.
The demand at the auction exceeded the supply by 5.4 times, as 15 investors filed 19 applications worth 269.2 million manat ($158.3 million).
The cut-off price for competitive bids was set at 97.944 manat ($57.5), or 4.4 percent, the weighted average price was 97.9511 manat ($57.6), or 5.5 percent. The volume of notes placed at the auction amounted to 50 million manat ($29.4 million).
The deadline for payment is July 6, 2020.
Short-term notes are a tool of monetary policy to regulate money supply in circulation. Only banks can obtain the notes.
($1 = 1.7 manat on Jan. 17)
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