BB pulls out Tk 9,675cr in three days

The Bangladesh Bank (BB) pulled out Tk 6,070 crore from the banking sector on the third day of its auction on Wednesday through the 30 days BB bills.

The rate of the bills was 0.54 per cent.  The central bank pulled out Tk 3,605 crore from the banking sector through the Bangladesh Bank Bill and five-year treasury bills. In all, it has withdrawn Tk 9,675 crore in three days, Bangladesh Bank Executive Director and spokesperson Md Serajul Islam told The Business Post on Wednesday.

BB officials said the commercial banks bought 7-day Bangladesh Bank bill worth Tk 1,505 crore and 14-day Bangladesh Bank bill worth Tk 1,100 crore on Monday. The interest rate on 7-day term bill is 0.54 per cent while the interest rate on 14-day term bill is 0.75 per cent.

BB also pulled out Tk 1,000 crore through a five-year Bangladesh Treasury Bond Sale (re-issue) auction on Tuesday. The 5-year treasury bills yield rate is 4.14 per cent.

According to BB, there is surplus liquidity of Tk 2,31,462 crore in the banking sector till June. Liquidity started to accumulate as the demand for loans remained low amid the pandemic.

According to officials, BB has not yet decided how much money will be withdrawn from the banking sector through the bills. Five more auctions will take place this month.