SBP conducted a MTB auction on Wednesday in which it sold T-Bills worth Rs.50.509 billion for 3 months. Cut off yield remained unchanged at 7.75%
Earlier, the SBP had received bids worth Rs.33.282 Billion for the 3 Month MTB.
SBP received no bids for the 6 and 12 month instrument signaling market’s reluctance to invest for longer terms with the expectation of further interest rate hikes.
The auction target was Rs.1,300 Billion against a maturing amount of Rs.1,332.525 Billion.
The SBP accepted Rs.31.282 Billion from the competitive bids and Rs. 19.227 billion from the non-competitive bids making the total accepted amount Rs.50.509 Billion.