UAE central bank raises interest rates by 25 bps

UAE central bank raises interest rates by 25 bps

The central bank was acting after the US Federal Reserve hiked rates by 25 bps.



By Staff Report

Published: Thu 27 Sep 2018, 8:07 AM

Last updated: Thu 27 Sep 2018, 4:02 PM

The UAE central bank (CBUAE) said on Wednesday it was raising its repo rate by 25 basis points, and also raising interest rates on the issuance of its certificates of deposit in line with the increase in US dollar rates.
The Repo Rate applicable to borrowing short-term liquidity from CBUAE against Certificates of Deposits has also been increased by 25 basis points.
Certificates of Deposit, which CBUAE issues to banks operating in the country, are the monetary policy instrument through which changes in interest rates are transmitted to the UAE banking system.

(With inputs from Reuters)
 


More news from Local Business