Wednesday, July 27, 2022 – 11:14 PM
ABU DHABI, July 27 / WAM / Central banks in the Gulf Cooperation Council (GCC) countries decided to raise interest rates, following the US Federal Reserve’s decision today to raise them for the fourth time this year.
At the conclusion of its meeting today, the US Federal Reserve announced that it would raise interest rates by 75 basis points to a range between 2.25% and 2.5%, following raising it by 75 basis points last June in the largest increase since 1994, in addition to raising it by half 50 basis points in May, in addition to an increase of 25 basis points in March of the same year.
The Saudi Central Bank decided to raise the rate of “repo” agreements by 75 basis points from 2.25 to 3%, as well as raising the rate of “reverse repo” agreements by 75 basis points from 1.75% to 2.5%.
The Central Bank of Kuwait announced raising the discount rate by a quarter of a percentage point from 2.25% to 2.5%, as of tomorrow. Repo/, Central Bank of Kuwait bonds and securitization, time deposit acceptance system, direct intervention instruments, in addition to public debt instruments.
The Central Bank of Bahrain also decided to raise the basic interest rate on one-week deposits from 2.5% to 3.25%, and the interest rate on overnight deposits was raised from 2.25% to 3%, and the interest rate on deposits for a period of four weeks was raised from 3.25% to 4%. In addition to raising the interest rate imposed by the Central Bank on retail banks in return for lending facilities from 3.75% to 4.5%.
Qatar Central Bank approved raising the bank’s deposit interest rate by 75 basis points to 3%, raising the bank’s lending interest rate by 50 basis points to 3.75%, and raising the repurchase rate by 75 basis points to 3.25%.
WAM / Ramy Samih / Ahmed Al-Boutli
