Dhaka, Aug. 20 -- The yield on long-term treasury bonds fell further on Tuesday, as banks preferred risk-free government securities to park their surplus liquidity amid subdued private sector credit demand.

The cut -off yield, generally known as interest rate, on the 10-Year Bangladesh Government Treasury Bonds (BGTBs) came down to 10.26 per cent on the day from 10.48 per cent, according to the auction results.

Earlier on July 22 last, the yield on the 10-Year BGTBs dropped to 10.48 per cent from 12.35 per cent on the same ground.

"Some banks prefer to invest their excess funds in BGTBs due to lower credit demand from the private sector ahead of the general election," a senior official of the Bangladesh Bank (BB) told The Financial Exp...