January 8, 2020 (MLN): The State Bank of Pakistan conducted an auction on Wednesday in which it sold PIB’s worth Rs.162.927 Billion for 3, 5, and 10 years in fixed and floating rate bonds.
Cut off Yields for 3 and 5 year PIB’s remained unchanged at 11.75 and 11.1938 percent while the 10 year cut off decreased by 9 basis points to 10.90 percent.
The bids for the 20 year PIB was rejected.
The combined auction target was Rs.150 billion while the maturing amount was nil.
The SBP accepted Rs.103.87 Billion in fixed Rate PIBs and Rs.58.05 Billion for the 10 year floating rate PIB.
In the fixed rate auction, the SBP received bids worth Rs.77.56 billion for 3 years, Rs.81.50 billion for 5 year and Rs.24.24 billion for 10 year, out of which the central bank accepted Rs.23.5 billion for 3 years, Rs.54.90 billion for 5 years and Rs.20.04 billion for 10 years.
In the floating rate bond auction, the SBP received bids worth Rs.87.05 billion out of which the SBP accepted Rs.58.05 billion at a cut off price of 101.8543.
In addition to the above the SBP picked up an additional Rs.5.437 Billion in Non-Competitive Bids and through short selling making the total accepted amount Rs.162.927 Billion.
