KUALA LUMPUR – Short-term rates are expected to remain stable on Friday on Bank Negara Malaysia’s operations to absorb surplus liquidity from the financial system.
The liquidity is estimated at RM43.13 billion in the conventional system and RM24.09 billion in Islamic funds.
BNM will conduct three conventional money market tenders worth RM1 billion for seven days and two RM2 billion each for 14 days and 28 days, respectively.
The central bank will also conduct an Islamic range maturity auction Qard tender worth RM3.3 billion for seven to 28 days.
BNM also announced the availability of reverse repo, sale and buy back agreement, and collateralised commodity Murabahah facilities for tenors of one to three months.
BNM said it reserved the right to reject bank bids for overnight tender if liquidity position is not reported before 4pm.
At 4pm, BNM will conduct up to RM38.1 billion conventional overnight tender and RM20.8 billion for Murabahah overnight tender. – Bernama, February 8, 2021
