Dhaka, Bangladesh (BBN) – Turnover on the call-money market increased significantly on Thursday, the last working day before the Eid-ul-Azha festival, while the rate remained almost unchanged.
The total turnover on the call-money market increased by more than 8.0 per cent to BDT 72.07 billion on the day from BDT 66.63 billion of the previous working day, according to the central bank’s latest statistics.
On the other hand, the inter-bank call rate ranged between 3.00 per cent and 4.50 per cent on the day against the previous range between 2.00 per cent and 4.50 per cent.
However, most of the deals were settled at rates varying between 4.00 per cent and 4.50 per cent, according to the market operators.
Talking to BBN, a senior official of the Bangladesh Bank (BB) said there is no shortage of fund right now. “So the call money rate remained stable despite higher withdrawal of cash from the banks ahead of the Eid festival.”
The call money rate remained stable before the Eid because of having excess liquidity with most of commercial banks and the central bank managed the market prudently, according to the treasury officials of commercial banks.
They also said such short-term borrowings normally increase before Eid to meet the growing demand for money from the banks.
Most of the banks located at Motijheel, Dilkusha and other commercial places of Dhaka city witnessed long queues of people waiting mostly to withdraw money before the Eid festival.