Demand for Azerbaijani Central Bank’s notes greatly exceeds supply
BAKU, Azerbaijan, Jan. 24
By Eldar Janashvili - Trend:
Baku Stock Exchange (BSE) held an auction for placement of the short-term notes with circulation period of 252 days of the Central Bank of Azerbaijan (CBA) worth 30 million manat ($17.6 million) on Jan. 24,Trend reports referring to BSE.
The demand at the auction exceeded the supply by five times, as 15 investors filed 20 applications worth 151.8 million manat ($89.3 million).
The cut-off price for competitive bids was set at 97.2103 manat ($57.1), or 4.1 percent, and the weighted average price was the same. The volume of notes placed at the auction amounted to 30 million manat ($17.6 million).
The deadline for payment is Oct. 5, 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. 24)
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