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CB seen keeping key rates at record lows on FridayReuters: Central Bank is expected to hold its key monetary policy rates steady at record lows on Friday for a 11th straight month as policymakers aim to sustain an economic rebound, a Reuters poll showed. The repurchase and reverse repurchase rates are at 6.50% and 8.00%, respectively. Many analysts say the central bank may opt to keep the rates steady ahead of a snap presidential poll on Jan. 8. In September, the central bank paid commercial banks using its standing deposit facility only 5% interest after the banks had made deposits three times in a calendar month at the current 6.50% rate, a move seen by many banks as an effective rate cut. Between December 2012 and January 2014, the central bank cut the repurchase rate, or repo rate, by 125 basis points (bps) and the reverse repurchase rate, the reverse repo, by 175 bps to stimulate economic growth. The pace of growth picked up to 7.3% last year from 6.3% in 2012. The central bank has estimated growth at 7.8% this year. |