Monk wrote:Angelica _ann wrote:I hope the reversal of interest rate cap will improve CBK T-bill and T-bond rates. Those in the know, what do you think/any comment?
CBK has no choice but to improve those rates, if the Big 4 Agenda is still on the table...it's the only way to compete for funds with the private sector.
@Monk we have been waiting for this reversal for like 2- 3 years now... For sure Opus Dei has done a good job with keeping the rates low and govt still gets its' fill at auctions plus even goes further to reject higher rates.
@AA I believe rates will turn but it will all be dependent on how the new structure post repeal will be ( for lack of a better word)... If banks will stop going heavy on bonds we will most def see way better rates CBK will have to adjust upwards at primaries to attract investors... Rem we were here when the 1 yr bond touched 22% thanks to Prof...We still have bonds with coupon payments of 14% issued around that time....
possunt quia posse videntur