Dhaka, Bangladesh (BBN)- The central bank on Thursday slashed all repurchase agreement (REPO) rates by 50 basis points aiming to increase investment particularly in the productive sector.
“We’ve cut the repo rate in line with our monastery policy statement (MPS),” a senior official of the Bangladesh Bank (BB) told BBN in Dhaka, adding that the new rate will come into effect from February 1.
Earlier BB Governor Atiur Rahman announced the MPS for the second half-yearly MPS for the ongoing fiscal year (FY) 2012-13 at his office in the capital Dhaka on Thursday.
The central bank has also revised its monetary program with a broad money growth target of 17.7 per cent in June 2013 compared to the first half-yearly MPS for FY `13 target of 16.5 per cent, and a new private sector growth envelope of 18.5 per cent in June 2013 compared with the original program of 18 per cent.
BBN/SSR/SI-31Jan13-5:05 pm (BST)
