BB raises repo rate by 50 basis points

Bangladesh Bank (BB) has increased the policy rate, also known as repo rate, by 50 basis points to 9.50 percent to contain inflation.

The new rate will be effective from Wednesday, said a BB circular issued on Tuesday.

As per the circular, the highest ceiling of policy rate corridor of standing lending facility (SLF) rate has been raised to 11 per cent from 10.50 per cent while the lowest limit of standing deposit facility (SDF) rate has been raised to 8 per cent from 7.50 per cent.