November 30, 2021 (MLN): The State Bank of Pakistan (SBP) conducted an auction on Tuesday in which it sold PIBs worth Rs117 billion against an auction target of Rs100 billion.
After the increase in the policy rate, this was the first PIB auction wherein SBP received offers of Rs288 billion.
The bids for 15Y PIBs were rejected while no bids were received for 20Y and 30Y PIBs.
Moreover, the cut-off yield for 3-year PIBs increased by 246bps to 11.34%, for 5-year PIBs, cut-off yield jumped by 241bps to 11.59%, while the yield for 10-year PIBs rose to 11.79%, up by 196bps.
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