Govt to borrow Rs3.4tr via MTBs, PIBs in 3QFY24

December 29, 2023 (MLN): The government is targeting to raise Rs3.4 trillion during the next three months (January-March) of FY24, through the auction of Market Treasury Bills (MTBs), Pakistan Investment Bonds (PIBs) Fixed Rate, and PIBs Floating Rate.

Through the auction of MTBs, the government is targeting to borrow Rs1.63tr during Jan-Mar of 2024 as against the maturing amount of Rs1.565tr.

SBP plans to conduct six auctions of MTBs in the period of Jan-Mar 2024 to meet this target.

In the month of January, two auctions are scheduled, one on January 10, with a target of Rs100 billion, and the second one on January 24, with a target of Rs225bn.

In February, two auctions will be held, one on February 06 with a target of Rs480bn and the second on February 21 with a target of Rs300bn.

Going forward, two auctions are scheduled to be held within March, the first one being on March 06 with a target of Rs225bn, and the last auction scheduled for the review quarter is scheduled to be held on March 20 with a target of R300bn.

Additionally, SBP aims to raise Rs1.77tr through the sale of PIBs, which includes Rs570bn through the sale of PIBs Fixed Rate, Rs720bn PIBs Floating Rate Semi-Annual Auction, and an amount of Rs480bn through the sale of PIB (Floating Rate) Quarterly Auction.

It is worth noting that the Pakistan Stock Exchange (PSX) will now conduct the auctions of GOP Ijara Sukuk.

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