ADVERTISEMENT

MNB allots HUF 100 bln at one-month EUR/HUF swap tender

MNB

jessica fejos

The National Bank of Hungary (MNB) allotted HUF 100 billion of one-month forint swaps against euros at a tender Monday, the central bank was reported as saying by Hungarian news agency MTI.

The MNB offered a total of EUR 160 million or HUF 50 bln for the tender; bids from the six participating banks came to EUR 407 mln (HUF 125 bln), of which the central bank accepted HUF 100 bln.

In the absence of maturing swaps, the additional liquidity the MNB introduced to the system through the tenders remained unchanged at HUF 400 bln.

The next swap expiry, of HUF 250 bln, will be on March 8.

The central bank introduced the tenders for the FX swaps last fall as a “fine-tuning instrument” for market liquidity, after it put a cap on placements in three-month deposits, its main sterilization instrument.

The MNB said it is continuously observing liquidity trends and is prepared to hold further tenders for the instruments if it sees “substantial and lasting” deviations.

ADVERTISEMENT

OECD projects Hungary GDP growth will slow to 5% in 2022 Analysis

OECD projects Hungary GDP growth will slow to 5% in 2022

Lawmakers approve residency permit for digital nomads Parliament

Lawmakers approve residency permit for digital nomads

The strongest move - Morgan Stanley Hungary head and Chess F... Podcasts

The strongest move - Morgan Stanley Hungary head and Chess F...

ITM, capital gov't agree on support for public transport City

ITM, capital gov't agree on support for public transport

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.