Govt Raises Rs. 444 Billion Via T-Bills

The cut-off yields on Treasury Bills (T-Bills) went down by 5 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. 444 billion against a target of Rs. 375 billion and maturity of Rs. 296 billion in the auction. Official data indicates that the cut-off yield for the 3-month and 12-month T-Bills remained unchanged. The cut-off yield for the 6-month T-Bills went down by 5 bps to 21.9157 percent from 21.9616 percent observed on May 3. The government raised Rs. 334 billion for the three-month paper in the competitive auction. It also raised Rs. 2 billion and Rs. 7 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. 101 billion through non-competitive bids. This took the total amount raised during the auction to Rs. 444 billion.