Short-term rates expected to stay stable as BNM absorbs surplus liquidity

KUALA LUMPUR, April 6 — Short-term rates are expected to remain stable today, supported by Bank Negara Malaysia’s (BNM) operations to absorb surplus liquidity in the financial system.

Liquidity in the banking system is estimated at RM41.57 billion in the conventional market and RM27.46 billion in Islamic funds.

Today, BNM will conduct three reverse repo tenders, namely a RM2.0 billion tender for seven days, a RM600 million tender for 30 days, and a RM900 million tender for 91 days.

The central bank also announced the availability of reverse repos, sell-and-buyback agreements, and collateralised commodity Murabahah facilities, with tenors of one week, one month, and three months.

At 4 pm, BNM will conduct up to RM45.1 billion in a conventional overnight tender and RM27.5 billion in a Murabahah overnight tender. — Bernama