Dhaka, Bangladesh (BBN) – The repurchase agreement (REPO) auction of Bangladesh Bank for commercial banks and financial institutions was held on Sunday, officials said.
Thirteen bids of 1-day tenor amounting total of BDT 61.51 billion were received as special REPO. Of those, all bids of 1-day tenor amounting total of BDT 7.50 billion were accepted.
Moreover, 13 primary dealers (PDs) of 1-day tenor amounting total of BDT 53.6381 billion were provided as liquidity support facility.
The rate of interest of liquidity support facility was 7.75 per cent per but for the special REPO the rate of interest was 10.75 per cent, according to the auction result.
The central bank of Bangladesh earlier selected 15 PDs — 12 commercial banks and three non-banking financial institutions (NBFIs) — to handle government-approved securities in the secondary market.
The PDs will subscribe and underwrite primary issues and make secondary trading deals with two-way price quotations.
BBN/SSR/AD-09Jan12-1:46 pm (BST)