On the previous day, the Central Bank of the United Arab Emirates made a decision to maintain the "base rate" on overnight deposits at 4.40%. This decision was made following the announcement from the Federal Reserve System regarding the preservation of the reserve rate unchanged at its current meeting.
The Central Bank also made a decision to maintain the rate applied to short-term liquidity borrowing through various credit mechanisms, at 50 basis points above the base rate.
"With the base rate, which is linked to the fed funds rate set by the US Federal Reserve, establishing a common framework for monetary policy and ensuring a minimum level of the effective benchmark rate for overnight rates in the country."
