Saturday , June 24 2017

Qatar central bank raises policy rates

Qatar copy

 

DOHA / Reuters

Qatar’s central bank said that it raised its overnight lending rate by 25 basis points to 5.0 percent after the U.S. Federal Reserve tightened policy by a similar margin.
The central bank also increased its overnight deposit rate by 25 bps to 1.25 percent.
However, the central bank reduced banks’ reserve requirement — the amount of money they must hold back from lending as reserves – by 25 bps to 4.5 percent. The reserve requirement cut followed complaints by commercial banks about tight liquidity in the money market, which has driven short-term market rates up sharply in the past 18 months. The reserve requirement was last changed in April 2008.

About Admin

Check Also

Anchor copy

China’s rate guidance calms markets without giving game away

Bloomberg People’s Bank of China’s (PBOC) Governor Zhou Xiaochuan, who has likened monetary-policy communication to ...

Leave a Reply

Your email address will not be published. Required fields are marked *