The Central Bank of the UAE has decided to maintain the Base Rate applicable to the Overnight Deposit Facility at 3.65%, following the US Federal Reserve’s decision to keep the Interest Rate on Reserve Balances unchanged. The Central Bank also kept the rate for borrowing short-term liquidity from the Central Bank at 50 basis points above the Base Rate across all standing credit facilities. The Base Rate remains anchored to the Federal Reserve’s Interest Rate on Reserve Balances and continues to act as a signal of the UAE’s monetary policy stance and a floor for overnight money market interest rates.
Central Bank of the UAE 2026-01-28
Central Bank of the UAE keeps Base Rate at 3.65% and maintains standing credit facility spread
The Central Bank of the UAE has maintained the Base Rate for the Overnight Deposit Facility at 3.65%, aligning with the US Federal Reserve's unchanged Interest Rate on Reserve Balances, and kept the short-term liquidity borrowing rate at 50 basis points above the Base Rate.