Demand for Azerbaijani Central Bank's notes greatly exceeds supply

By Trend

Baku Stock Exchange (BSE) held an auction for placement of short-term notes of the Central Bank of Azerbaijan (CBA) worth 30 million manats, Trend reports referring to BSE.

The demand at the auction exceeded the supply by almost 4 times, as 9 investors filed 13 applications worth 117.325 million manats.

The cut-off price for competitive bids was set at 99.2145 manats (6.14 percent), the weighted average price was also 97.2514 manats (6.26 percent). The volume of notes placed at the auction amounted to 30 million manats.

The deadline for payment is March 23, 2020.

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

(1 USD = 1.7 AZN on Oct. 5)