Weighted average interest rate on central bank’s sterilisation operations has fallen

The weighted average interest rate on the sterilisation operations carried out by the National Bank of Moldova (NBM) has decreased from 14.12% in March to 13.7% in April, to 1,069.7 million lei, Info-Prim Neo reports. According to the NBM, the average daily balance of the sterilistion operations in April was 1,464.8 million lei, exceeding March’s average balance by 131.8 million lei. At the same time, the balance of these operations at end-April fell by 44.7 million lei compared with the end of the previous month and was 1,423.1 million lei, including issued certificates of 874.1 million lei and accepted deposits of 549.0 million lei. In April, the central bank held eight auctions to sell NBM Certificates to the value of 1,570 million lei maturing in 14 and 28 days. Banks’ demand was 1,058.9 million or 67.4% of the supply. The placed volume rose by 39.8 million lei on March to 1,049.7 million lei. The balance of deposit operations on April 30 was 549 million lei or by 204.5 million lei or 27.1% less compared with March. The average term of the deposits in the balance was 75 days at the end of the month or by two days fewer compared with the end of March. The NBM granted overnight credits of 362 million lei to the banks and accepted overnight deposits of 238.5 million lei. In April, the central bank held 13 auctions to place state securities, where the Ministry of Finance offered state securities of 210 million lei on the primary market. Banks’ demand for state securities was 322 million lei, exceeding the offer 1.5-fold. There were placed 98.8% of the Ministry of Finance’s offer valued at 207.5 million lei. The state debt to the central bank on April 30 was 2,373.4 million lei, including 1,973.4 million lei debt on the earlier taken loans and 400 million lei the debts represented by state securities obtained in the NBM’s portfolio after the conversion of the loans taken from the central bank earlier (at the selling price). After reflecting the calculated interest and assessing the state securities forming part of the NBM’s portfolio at market prices, the balance of the state debt came to 2,412.7 million lei on April 30.