The Central Bank of Azerbaijan (CBA) raised 100 million manatsat a deposit auction, the CBA said on October 9.
The CBA was ready to receive 456.3 million manats from banks, and therefore, the demand exceeded supply almost 4.6-fold. The weighted average interest rate on deposit transactions at the auction was 10.01%.
The CBA started holding deposit auctions in mid-June 2016. Deposit auction is an auction during which the deposits of commercial banks are placed in the CBA. The main aim of such auction is sterilization of money supply.
Thirty-one banks, including two state-owned, operate in Azerbaijan. (Trend/Business World Magazine)
