SAMA Confirms Increase in Rates

RIYADH, 11 February 2007 — The Saudi central bank confirmed yesterday it had raised interest rates by 30 basis points but declined to give a reason. “Yes, it’s correct,” an official said when asked if the bank had hiked rates. The Saudi Arabian Monetary Agency (SAMA) raised the benchmark repo rate and the reverse repo rate by 30 basis points to 5.50 percent and 5 percent respectively, four traders in Riyadh and Dubai said, citing a memo sent to Saudi banks.