Demand exceeds supply for Azerbaijani Central Bank’s notes

By Trend

The Baku Stock Exchange (BSE) held an auction for placement of short-term notes of Azerbaijan’s Central Bank (CBA) worth 200 million manats with a maturity period of 27 days, Trend reports referring to the BSE.

The demand at the auction exceeded the supply by almost 2.8 times as the banks applied for 552.88 million manats, the BSE said.

The cut-off price for competitive bids was set at 99.4959 manats (6.76 percent), the weighted average price was also 99.4959 manats (6.76 percent). The volume of notes placed at the auction amounted to 200 million manats.

The deadline for payment on notes is June 4, 2019.

The short-term notes are an instrument of monetary and credit policy for regulating the money stock in circulation. Only banks can acquire notes.

(1.7 AZN = 1 USD on May 8)