Dhaka, Bangladesh (BBN)- The central bank of Bangladesh has slashed its policy interest rates by fifty basis points after three years aiming to boost fresh investment particularly in productive sectors for achieving maximum economic growth this fiscal year (FY) 2015-16.
The interest rate on repurchase agreement (repo) came down to 6.75 per cent Thursday from 7.25 per cent while the reverse repo rate was re-fixed at 4.74 per cent from the existing level of 5.25 per cent.
Bangladesh Bank (BB) Governor Dr. Atiur Rahman announced the revised policy rates while unveiling the new monetary policy statement (MPS) for the January-June period of the FY 16 on Thursday.
Earlier on January 31, 2013, the central bank decreased its interest rate on repo and reverse repo by 50 basis points after nearly four years.
The interest rate on repo auction re-fixed at 7.25 per cent from 7.75 per cent while the interest rate on reverse repo came down to 5.25 per cent from 5.75 per cent earlier.
BBN/SSR/AD