The Central Bank of Bahrain (CBB) has decided to raise its key policy interest rate. The rate on the one-week deposit facility is raised from 3.25% to 4%.

 

The move is in light of the developments at international financial markets and the continuous measures taken by the CBB to ensure the smooth functioning of the money markets in Bahrain, said a CBB statement.

 

The CBB has also decided to raise the overnight deposit rate from 3% to 3.75%, the four-week deposit rate from 4% to 4.75% and the lending rates from 4.5% to 5.25%.

 

The CBB continues to monitor global and local market developments closely in order to take any further necessary actions to maintain monetary and financial stability in the kingdom, it said.-TradeArabia News Service