CBA: Average profitability in short-term money market moves within IRC

The average profitability in the short-term money market is moving within the interest rate corridor (IRC) of the Central Bank of Azerbaijan (CBA), Report informs with reference to the bank.

According to the CBA, monetary policy instruments are applied taking into account the processes in financial markets and changes in the liquidity position of the banking system.

"Along with permanent facility instruments to regulate interest rates in the interbank money market, 1-week REPO and reverse-REPO operations have also been regularly conducted during the current year.

The average daily level of the 1D AZIR index was 7.68% in the first ten days of April and 7.21% in the 2nd ten days. On April 11, the Ministry of Finance held an auction to place the free balance of the single treasury account in national currency in the form of deposits in systemically important banks. This had an increasing effect on the liquidity position of the banking system and a decreasing effect on the 1D AZIR index," the CBA stated.