Auction Result: SBP picks up Rs.114.94 Billion through PIB auction as yields increase

June 24, 2020 (MLN): The State Bank of Pakistan conducted an auction on Thursday in which it sold PIB’s worth Rs.114.944 Billion for 3, 5, 10, 15 and 20 years in fixed rate bonds.

The auction target was Rs.140 billion while the maturing amount was nil.

The SBP received bids worth Rs.118.65 billion for 3 years, Rs.33.10 billion for 5 year, Rs.18.59 billion for 10 years, Rs.6.10 billion for 15 year and Rs.100 million for 20 years out of which the central bank accepted Rs.71.10 billion for 3 years, Rs.20.81 billion for 5 years, Rs.16.09 billion for 10 years and Rs.4 billion for 15 years while the full amount was accepted for 20 years.

Cut of Yields increased by 33, 39 and 30 basis points for 3, 5 and 10 years while remaining the same for 15 years; the last PIB auction for 20 years was rejected.

 Cut off yields were 7.97, 8.44, 8.99, 9.9 and 10.51 percent for 3, 5, 10, 15 and 20 years.

In addition to the above, the SBP picked up Rs.2.796 billion from the non-competitive making the total amount accepted Rs.114.944 billion.

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