The inter-bank call money rate skyrocketed to an all-time high to reach 60 per cent Saturday, the last working day before the Eid-ul-Azha festival, from 15 per cent only a day earlier, banking sources said.
The soaring trend in the money market started as soon as the banks and non-banking financial institutions (NBFIs) came to know that the repurchase agreement (Repo) was not going to be held on the day, the sources said.
Besides, the government borrowed a total of Tk 2.60 billion Saturday through auction of treasury bills, which also indirectly impacted the liquidity position of banks and pushed up the call rates, sources added.
They said at least eight private commercial banks (PCBs) sold Tk 1.20 billion worth of US dollars (USD) to the central bank to meet their cash requirement on the day.
The Bangladesh Bank (BB) recorded the call rate on the day between 14 and 25 per cent, sources said, adding the officials of the central bank were, however, aware of the abnormal trend in the money market.
"Some deals may have been settled at higher rates … but it does not reflect the real picture of the market," a senior official of the central bank told the FE.

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