OREANDA-NEWS. October 07, 2010. A REPO agreement worth 400 million soums with securities of Kapitalbank open joint-stock commercial bank was registered on 30 September at UzSE. The bank sold 36,364 securities at the nominal price of 11,000 soums.

REPO agreement, also known as Sale and Repurchase Agreement, is the sale of securities together with an agreement for the seller to buy back the securities at a later date.

The repurchase price will be greater than the original sale price, the difference effectively representing interest, sometimes calls the repo rate. In other words, Repo agreement is a short-term loan under securities.