Bangladesh Bank has reduced the standing deposit facility (SDF) rate, also referred to as the reverse repo rate, by 50 basis points.
However, the policy rate, or overnight repo rate, remains the same.
Today (15 July), the monetary policy department of the central bank released a circular regarding this change.
The Business Standard Google News Keep updated, follow The Business Standard’s Google news channel
The circular indicates that, as part of the Interest Rate Corridor framework of the monetary policy, the lower limit of the policy interest rate corridor — Standing Deposit Facility (SDF) — has been decreased by 50 basis points from 8.50% to 8% to further boost the activity of the interbank money market (call money market) and improve liquidity management.
Additionally, the upper limit of the policy interest rate corridor — Standing Lending Facility (SLF) — will stay the same at 11.5%, and the overnight repo policy rate will also remain unchanged at 10%.
 rate, also referred to as the reverse repo rate, by 50 basis points.){kind=link}