UAE central bank to introduce new liquidity management resource

SourceThe National

The Central Bank of the UAE is launching an Intraday Liquidity Facility that will allow licensed financial institutions to mitigate intraday liquidity risks. The new liquidity management facility will be introduced on April 21 as part of the central bank’s new Dirham Monetary Framework, the CBUAE said in a statement on Thursday. It will allow eligible counterparties – participants in the UAE Funds Transfer System – to access funding in UAE dirhams from the central bank on an intraday basis to make sure payments are settled on a real-time basis. To obtain intraday funding from the CBUAE, participants are required to submit "eligible collateral", more...