UAE Central Bank raises interest rate to 3.15%

Thursday, September 22nd, 2022 6:26am

By ARN News Staff

WAM

The Central Bank of the UAE (CBUAE) has raised the Base Rate applicable to the Overnight Deposit Facility (ODF) from 2.4% to 3.15%, effective from 22nd September 2022.

That’s after the US Federal Reserve Board’s announcement to increase the Interest on Reserve Balances (IORB) by 75 basis points.

The CBUAE also has decided to maintain the rate applicable to borrowing short-term liquidity from the CBUAE through all standing credit facilities at 50 basis points above the Base Rate.

The Base Rate signals the general stance of the CBUAE’s monetary policy and provides an effective interest rate floor for overnight money market rates.

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