DMD Circular Letter No. 07: Cancellation of 360 Days Term Repo Facilities

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Bangladesh Bank (Central Bank of Bangladesh) Head Office Motijheel, Dhaka-1000 Bangladesh.

Department of Management and Development

Date: 22 Bhadra, 1429 06 September 2022

DMD Circular Letter No.-07

Managing Director/Chief Executive All scheduled banks and financial institutions operating in Bangladesh.

Dear Sir,

Regarding the cancellation of the 360-day term special repo (repurchase agreement) program introduced by Bangladesh Bank to mitigate the impact of the Novel Coronavirus (COVID-19).

To ensure proper liquidity management in the money market as part of the implementation of the stimulus packages announced by the Government and Bangladesh Bank to counter the adverse effects of the Novel Coronavirus (COVID-19) pandemic on the country's economy, the 360-day term special repo facility was introduced through this department's DMD Circular Letter No. 02 dated May 13, 2020. Currently, as the COVID-19 situation has normalized and there is no observed demand for the 360-day term special repo, the aforementioned circular is hereby cancelled.

This directive will take effect immediately.

Yours faithfully,

(Signature) (Khondaker Siddiqur Rahman) Director (DMD) Phone: 9530131 E-mail: khondaker.rahman@bb.org.bd

Phone: 88-02-9550448, 9554899, IP: 88-02-55665001-6, Fax: 88-02-9530479, www.bb.org.bd