Dhaka, Bangladesh (BBN)- The inter-bank call money rate remained stable on Thursday, the last working day before the Eid-ul-Fitr festival, despite higher withdrawal of cash from the banks, treasury officials said.
The call money rate ranged between 2.25 per cent and 4.50 per cent on the day unchanged from the previous level. But most of the deals were settled at rates varying between 3.25 per cent and 4.50 per cent, the market operators said.
Most of the banks located at Motijheel, Dilkusha and other commercial places of the capital witnessed long queues of people waiting mostly to withdraw money before the Eid festival.
However, the volume of overall transactions in the call money market increased significantly in the last week ahead of the Eid festival.
The volume of transactions in the inter-bank call money market rose to BDT 92.68 billion on Wednesday from BDT 74.74 billion on June 15, according to the central bank latest statistics, released on Thursday.
“Call money rates normally increase before the Eid festival to meet the growing demand for cash from the bank clients,” a senior treasury official of a leading private commercial bank told BBN in Dhaka.
The call money rate is almost stable ahead of the Eid festival as most of banks are awash with excess liquidity, the private banker explained.
BBN/SSR/AD