SBP raises Rs328bn through PIB-PFL

August 07, 2024 (MLN): The State Bank of Pakistan (SBP) conducted an auction on Wednesday in which it sold Pakistan Investment Bond – Floating Rate (PIB-PFL) semiannual worth Rs327.7 billion for 5 and 10 years against a target of Rs360bn.

The cut-off price for the 5-year PIB-PFL semiannual stood at Rs96.5209, while for the 10-year bond, it stood at Rs94.5377.

SBP received bids worth Rs396.82bn for PIB-PFL semiannual and Rs150bn for PIB-PFL quarterly. Out of these, the central bank accepted Rs327.7bn for the semiannual floaters, while none were accepted for the quarterly PIB.

The settlement date for the successful bids is August 08, 2024.

The amount raised through PIB-PFL semiannual comes from the sale of 5-year and 10-year semiannual PIBs worth Rs301.71bn and Rs25.99bn, respectively.

The total sum raised through 5-year and 10-year semiannual bonds represents Rs310.32bn raised by SBP through competitive bids and Rs17.39bn raised through non-competitive bids.

The target for the PIB-PFL semiannual was to raise Rs200bn through the sale of 5-year and Rs150bn through 10-year PIB.

In the case of PIB-PFL quarterly, it was to raise Rs10bn with the sale of 2-year and 3-year PIB-FRF.

To note, the central bank in the last auction held on July 24, 2024 sold PIBs-PFL worth Rs170.5bn against a target of Rs210bn.

The cut-off price stood 98.8149 for the 3-year PIB-PFL quarterly, while the price was 96.5288 and 94.4884 for the 5-year and 10-year PIB-PFL semiannual.

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