Pre-Trading Thoughts

Matching our projections, MPC decided to keep rates unchanged. The CBE also decided to increase the required reserve ratio to 18% from 14% on deposits held in local currency with a maturity of less than 3 years. The required reserve ratio on foreign currency deposits remains the same at 10%. Positive impact on economy but banks will bear the cost. Banks with higher a higher deposit base whose maturity is less than 3 years and whose local currency deposit base is quite high will ...