UAE – Mubasher: The Central Bank of the UAE (CBUAE) decided to lower interest rates applied to its certificates of deposit by 50 basis points (bps), following a similar move by the US Federal Reserve.

The CBUAE’s decision is effective starting from Wednesday, according to a press release by the CBUAE.

Meanwhile, the bank has decreased the repo rate applicable to borrowing short-term liquidity from CBUAE against certificates of deposits by 50 bps (0.5%).

It is noteworthy to mention that the changes in interest rates are transmitted to the UAE banking system via the monetary policy instrument, the certificates of deposits.