Negotiable Instrument of Deposits ("NID") is an instrument issued by the Bank certifying that a certain sum in Ringgit Malaysia (RM) has been deposited for a certain tenure at a specified rate of interest (coupon rate may be fixed, floating or zero). NID is negotiable, which basically means that it can be sold in the money market before its maturity date if the need for funds arises.
Some features of NID:
NID can be issued for tenure of 1 month to 3 years. The tenure may also be for odd number of days e.g. 118 days
The minimum amount is RM100,000 in multiples of RM50,000 per deposit. Minimum denomination is RM100,000 and maximum denomination is RM10 million per certificate
NID rate is generally determined by interbank rates
