The National Bank of Romania (BNR) provided yesterday a one-week loan of RON 336.8 M to a number of two banks, through a repo auction, at the monetary policy rate of 6.25 pc a year, after granting to six more banks, last Friday, loans worth a total RON 1.506 bln, in an attempt to limit the increase of interests on the interbank market, Mediafax reports. Some banks were faced Friday by cash withdrawals that left them short on liquidities, so they were forced to raise their interests to deposits above the key rate of BNR, in order to draw cash deposits. After the repo auction held Friday, yields on the monetary market dropped under the Central Bank’s key interest rate, but Monday they returned slightly above this level.
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