Banks bid to place HUF 121 bln in the facility, the central bankʼs main liquidity sterilization instrument, compared to HUF 125 bln in maturing three-month deposits, noted state news agency MTI.
The MNBʼs Monetary Council reduced the cap on the stock of three-month deposits to HUF 75 bln for the end of the fourth quarter at a policy meeting in September.
On Wednesday, the central bank said that imposing the limit on the three-month deposit stock has fulfilled its purpose and the cap will not be lowered further. Policy-makers have gradually reduced the three-month depo stock since last autumn by setting end-of-quarter caps. The measure is one of several “unconventional” policy moves to support monetary easing while keeping the base rate unchanged.
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