Supply by banks at Azerbaijan's CBA deposit auction considerably tops demand
BAKU, Azerbaijan, Aug.5
By Eldar Janashvili - Trend:
The Central Bank of Azerbaijan (CBA) held a deposit auction, attracting 100 million manat ($58.8 million) from Azerbaijani banks, Trend reports on August 5 citing CBA.
According to CBA, supply from banks at the auction exceeded demand by 4.7 times, reaching over 472.5 million manat ($277.9 million).
The weighted average interest rate on deposit transactions concluded during the auction amounted to 6.26 percent.
The term for placing funds is 13 days.
Deadline for the payment is August 18, 2020.
The Central Bank of Azerbaijan began to hold deposit auctions in mid-June 2016.
A deposit auction is a bidding process during which CBA attracts deposits from commercial banks. The main purpose of such auctions is to sterilize the money supply.
(1 USD = 1.7 manat on Aug.5)