MNB allots HUF 150 bln at EUR/HUF FX swap tender

MNB

pixabay

The National Bank of Hungary (MNB) said Monday it had injected another HUF 150 billion in forint liquidity into the Hungarian banking system through its “fine-tuning swap tender,” where it offered one-month forint swaps against euros, Hungarian news agency MTI reported.

Including the previous tenders and upcoming maturities, the MNB has injected HUF 400 billion liquidity into the system through the new facility.

The offered amount for the EUR/HUF FX swap tender was EUR 160 million (HUF 49.5 bln) and the maturity of the swaps is one month.

Banksʼ bids totaled EUR 1.20 bln (or HUF 371 bln), of which the MNB accepted bids worth EUR 485 mln (or HUF 150 bln).

Seven banks participated at Mondayʼs swap tender.

The central bank announced in late September that - related to the volume limit it set on the three-month deposit, its main liquidity management instrument - starting from October it would operate fine-tuning instruments such as FX swap tenders on a case-by-case basis, reducing and increasing forint liquidity to tackle considerable and persistent liquidity shocks.

The MNB said it will continue to watch the markets closely and will hold more fine-tuning tenders if necessary.

Lender Liquidity Increases Further Banking

Lender Liquidity Increases Further

Hungary Condemns Iranian Attack on Israel Int’l Relations

Hungary Condemns Iranian Attack on Israel

Home Rental Rates in Hungary Rise 11.7% in March Residential

Home Rental Rates in Hungary Rise 11.7% in March

Tribe Hotel Budapest Stadium Recognized at LIV Hospitality D... Hotels

Tribe Hotel Budapest Stadium Recognized at LIV Hospitality D...

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.