Short-term rates close stable on BNMs operations

KUALA LUMPUR: Short-term rates are expected to remain steady on Tuesday on Bank Negara Malaysia's (BNM) operations to absorb surplus liquidity from the financial system.

Liquidity in the conventional system is estimated at RM43.39 billion and RM22.58 billion in Islamic funds.

BNM will conduct three conventional money market tenders comprising RM2 billion tenders each for seven days, 14 days and 31 days, respectively.

The central bank will also call for an Islamic range maturity auction (iRMA) Qard tender of RM6 million for seven days to 31 days, respectively.

BNM announced the availability of reverse repo, sale and buy-back agreement (SBBA), and collateralised commodity Murabahah (CCM) facilities for tenors of one to three months.

At 4pm, the central bank will conduct up to RM36.4 billion conventional overnight tender and RM15.0 billion for a Murabahah overnight tender.

BNM reserves the right to reject bank's bids for overnight tender if the liquidity position is not reported before 4pm.

-- BERNAMA