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MENAFN - - 28/03/2010

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(MENAFN) The monetary management committee at the Central Bank of Yemen (CBY) has approved raising the interest rates on rial deposits from 12 percent to 15 percent, Reuters reported.

The Governor of CBY Ahmad al-Samawi said that the bank is seeking through its decision to encourage savers in rial, and to make the interest rate on rial positive more than the inflation rate significantly.

He pointed out that the bank also aims by its decision to grant the rial depositors higher interest rates, indicating that the there are highly demands to deposit in riyal and this procedure would increase the return on the treasury bills by almost 2 to 3 percent of the minimum of 15 percent.

The bank's decision stipulated that the minimum interest rate on rial deposits is the minimum interest rate on rial deposits with banks and left the interest rate setting on the different terms to the banks, provided that not less than the minimum set by the CBY, which is 15 percent.

 






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