The cut-off yields on Treasury Bills (T-Bills) went down by up to 85 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. 616 billion against a target of Rs. 800 billion and maturity of Rs. 918 billion in the auction with participation of Rs. 2,494 billion.
Official data indicates that the cut-off yield for the 3-month T-Bills went down by 70 bps to 12.9974 percent. The cut-off yield for the 6-month T-Bills went down by 61 bps to 12.8948 percent while the cut-off yield for the 12-month T-Bills declined by 85 bps to 12.3500 percent.
The government raised Rs. 121 billion for the three-month paper in the competitive auction. It also raised Rs. 54 billion and Rs. 305 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. 136 billion through non-competitive bids. This took the total amount raised during the auction to Rs. 616 billion.