The central bank bought treasuries from 12 lenders and will sell them back October 22. The interest rate was set at 5.25% a year, equal to the monetary policy rate.
Romania’s central bank has capped its weekly repurchasing operation for a second straight time Monday with a view to prevent the leu from weakening too much against the euro.
In August, the central bank has limited its repo operations for four consecutive weeks. The move has helped strengthen the leu after interbank rates increased slightly, but it also led to higher yields at state treasury auctions.
The Finance Ministry plans to sell 11-month paper worth RON1 billion at an auction later today. (EUR1=RON4.5687)