February 2, 2023
1 min read

UAE, Gulf banks raise interest rates

This decision was taken following the US Federal Reserve Board’s decision to increase the Interest on Reserve Balances (IORB) by 25 basis points…reports Asian Lite News

The Central Bank of the UAE (CBUAE) has decided to raise the Base Rate applicable to the Overnight Deposit Facility (ODF) by 25 basis points – from 4.4% to 4.65%, effective from 2 February 2023.

This decision was taken following the US Federal Reserve Board’s decision to increase the Interest on Reserve Balances (IORB) by 25 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, which is anchored to the US Federal Reserve’s IORB, signals the general stance of the CBUAE’s monetary policy. It also provides an effective interest rate floor for overnight money market rates.

 The central banks of Saudi Arabia and Bahrain increased their interest rates after the US Federal Reserve raised its target interest rate by a quarter of a percentage point on Wednesday.

The Saudi Central Bank, known as Sama, and the Central Bank of Bahrain upped their interest rates by 25 basis points in statements.

ALSO READ: Dubai records 5.5% growth in energy demand

Previous Story

Dubai records 5.5% growth in energy demand

Next Story

UAE, Ireland keen to boost investment exchanges

Latest from -Top News

Rajnath Singh to skip Russia visit

The decision comes amid rising tensions between India and Pakistan following the recent terror attack in Pahalgam, Jammu and Kashmir…reports Asian Lite News Defence Minister Rajnath Singh will not likely attend Russia’s

WAVES 2025: Jaishankar Advocates Cultural Pluralism

External Affairs Minister S. Jaishankar delivered a powerful address at the WAVES 2025 Global Media Dialogue, highlighting the significance of cultural pluralism in shaping global change. Speaking on the second day of

India Eyes Supply Chain Shift

India’s electronics manufacturing sector is undergoing a remarkable transformation, positioning the country as a major global hub for production and supply chain diversification. Riding on favourable government policies, geopolitical tailwinds, and a

Carney Confirms May 6 White House Visit

Canadian Prime Minister Mark Carney will travel to Washington on May 6 for a high-stakes meeting with US President Donald Trump, just days after taking office following a contentious federal election. Speaking

Rubio Backs AfD, Slams Berlin

US Secretary of State Marco Rubio has strongly criticised Germany for officially classifying the far-right Alternative for Germany (AfD) party as an extremist organisation, accusing the German government of undermining democracy under
Go toTop

Don't Miss

Arab firms sign $2bn industrial deals

The projects are expected to create approximately 13,000 job opportunities

Indonesia Opens New Abu Dhabi Embassy

Marsudi said the opening of the new embassy in Abu