On conducting auction to provide 18-month loans secured by non-marketable assets at floating interest rate

The Bank of Russia took a decision to conduct an auction to provide 18-month loans secured by non-marketable assets at a floating interest rate to credit institutions on 27 July 2015. The auction will allow the Bank of Russia to meet credit institutions’ demand for long-term Bank of Russia refinancing operations. As there is no need to refinance considerable amount of credit institutions’ debt on a regular basis, conditions are created for lower burden on main refinancing operations and lower volatility of money market rates.

Auction date: 27 July 2015.

Settlement date: 29 July 2015.

Maturity date: 25 January 2017.

Auction type: Dutch auction.

Maximum allotment at the auction: 500 billion rubles.

Minimum bid rate: the Bank of Russia key rate effective on the date of the auction increased by 0.25 percentage points.

Minimum bid volume: 25 million rubles.

Maximum number of bids from a credit institution: 3 for every correspondent (credited) account with the Bank of Russia.

Only competitive bids are accepted.

Auction timing:

The auction is conducted in accordance with Bank of Russia Regulation No. 312-P, dated 12 November 2007, ‘On the Procedure for Extending Bank of Russia Loans to Credit Institutions Secured by Assets or Guarantees’.

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