Short-term rates are projected to remain stable today following Bank Negara Malaysia’s (BNM) operations to absorb excess liquidity from the financial system.
Liquidity is estimated at RM40.79 billion in the conventional system and RM38.81 billion in Islamic funds. Today, the central bank will conduct two conventional money market tenders consisting of a seven-day RM500 million tender and a 14-day RM1 billion tender, as well as a RM150 million reverse repo tender for a 28-day period. It will also conduct three Qard tenders, consisting of an RM1.7 billion tender (seven days), a RM800 million tender (14 days) and a RM1 billion tender (21 days).
In addition, BNM has announced the availability of reverse repos, sale and repurchase agreements, and Secured Commodity Murabahah facilities for a period of one to three months. At 4pm, BNM will offer up to RM38.4 billion for conventional overnight tenders and RM34.3 billion for Murabahah overnight tenders.
