08 Jan 2009 WAM (Emirates News Agency)
 

Dirham-dollar swap brings down rates

  • Text size
  •  
  •  

Abu Dhabi: Inter-bank interest rates have dropped considerably since the Central BankCentral BankLoading... launched the swap facilities (US dollar/UAE dirham) last month, the UAE Central BankUAE Central BankLoading... has announced.

In a statement issued yesterday, the Central BankCentral BankLoading... said although the drop was more obvious in short-term interest rates (one month), long-term (2 to 12 months) interest rates also saw some decline.

The statement said that the one-month interest rate dropped from 4.71 per cent at the end of October to 4.4 per cent by the end of December and fell further to 3.8250 per cent on January 7.

The Central BankCentral BankLoading... said it had until now provided banks operating in the UAE with Dh3.7 billion (about $1 billion) through the swap with US dollar.

The statement stressed that the Central BankCentral BankLoading... would like to encourage banks to use the various facilities it provided to support liquidity through the dirham-dollar swap and the discount facilities.

It highlighted that the extensive use of these facilities would push inter-bank interest rates further down, which would help the UAE economy achieve the required level of performance.

© WAM (Emirates News Agency) 2009

© Copyright Emirates News Agency (WAM) 2009.

x DISCLAIMER

Zawya is a distributor (and not a publisher) of content supplied by third parties and subscribers. Any opinions, advice, statements, services, offers, or other information or content expressed or made available by those third parties, including information providers, subscribers or other users of the Service, are those of the respective author(s) or distributor(s) and not of the Company. The Company neither endorses nor is responsible for the accuracy or reliability of any opinion, advice or statement made on the Service by anyone other than authorized Service employee spokespersons while acting in their official capacities. The Company is not responsible for any infringement of intellectual property rights or breach of any applicable law or regulation, including regulation in relation to financial services or the distribution of financial products, defamation, data protection, telecommunications (including regulations relating to excessive use, spamming or other abusive activities) or obscene, offensive or illegal content). Under no circumstances will the Company be liable for any loss or damage caused by a member's reliance on information obtained through the Service. It is the responsibility of member to evaluate the accuracy, completeness or usefulness of any information, opinion, advice or other content available through the Service. Please seek the advice of professionals, as appropriate, regarding the evaluation of any specific information, opinion, advice or other content.

Read the full Member Agreement
http://www.zawya.com/legal/NewsLetter.cfm?name=disclaimer
Access to this article is subject to specific terms and condition.
 
 

Post a Comment

 
  • Comment Title (optional)
  • Express your views or tell us more about this article
  • First Name
  • Last Name
  • Email Address
  • Company Name (optional)
Leave this field empty
 
 
Zawya Comment Policy
 
  1. Zawya encourages you to add a comment to this discussion. You agree that when you add content to this discussion your comments will not:
    1.1   Contain any material which is libelous or defamatory of any person, is obscene, offensive, hateful or inflammatory or causes damage to the reputation of any person or organisation.
    1.2   Promote sexually explicit material, violence, discrimination based on race, sex, religion, nationality, disability, sexual orientation or age or any illegal activity.
    1.3   Be made in breach of any legal duty owed to a third party, such as a contractual duty or a duty of confidence.
    1.4   Be threatening, abuse or invade another's privacy, or cause annoyance, inconvenience or needless anxiety.
    1.5   Be used to impersonate any person, to misrepresent your identity or affiliation with any person, or be likely to deceive any person.
    1.6   Give the impression that they represent Zawya.
    1.7   Advocate, promote or assist any unlawful act such as (by way of example only) copyright infringement or computer misuse.
  2. The content posted on www.zawya.com is created by members of the public. The views expressed are theirs and unless specifically stated are not those of Zawya. Zawya reserves the right to review all comments prior to posting and edit or delete any contribution, but Zawya is not responsible for and can not be held liable for any content posted by members of the public on www.zawya.com.
  3. Zawya is not responsible for the availability or content of any third party sites that are accessible through www.zawya.com. Any links to third party websites from www.zawya.com do not amount to any endorsement of that site by Zawya and any use of that site by you is at your own risk.
  4. By submitting your comment, you hereby give Zawya the right, but not the obligation, to post, air, edit, exhibit, telecast, webcast, re-use, publish, reproduce, use, license, print, distribute or otherwise use your comments worldwide, in perpetuity.