Govt Raises Rs. 1,161 Billion Via T-Bills, Cut-Off Yields Down by up to 50 BPS

The cut-off yields on Treasury Bills (T-Bills) went down by up to 50 basis points (bps) in the auction of the paper held on Wednesday. According to the data released by the State Bank of Pakistan (SBP), the government raised Rs. 1,161 billion against a target of Rs. 1,500 billion in the auction. Official data indicates that the cut-off yield for the 3-month T-Bills went down by 45 bps to 21.4997 percent. The cut-off yield for the 6-month T-Bills went down by 49 bps to 21.4999 percent while the cut-off yield for the 12-month T-Bills declined by 50 bps to 21.5001 percent. The government raised Rs. 409 billion for the three-month paper in the competitive auction. It raised Rs. 41 billion and Rs. 529 billion for the 6-month and 12-month T-Bills respectively. A further breakdown of the official numbers indicates that the government also raised Rs. 182 billion through non-competitive bids. This took the total amount raised during the auction to Rs. 1,161 billion.