CB orders curbs on Perpetual Treasuries
View(s):The Central Bank (CB) has ‘curtailed’ primary dealer, Perpetual Treasuries Ltd from trading in the capital market and declaring company dividends, following the company’s controversial deals in bond trading last year, informed sources said.
Earlier the CB had said that it would take action against Perpetual Treasuries but unspecified this at a recent media conference. The company continues to be listed as a primary market dealer in the most recent call for bids by the CB which is auctioning treasury bonds worth Rs. 57 billion on Tuesday, December 27. Meanwhile the US dollar hit Rs. 152 per 1$ earlier this week and then fell to Rs. 149-150 by Friday owning to the demand for dollars rising. “There is a demand because foreigners are selling off their securities to invest in US securities with interest rates going up there,” one dealer said.