April 06, 2024 (MLN): The government is targeting to raise Rs4.565 trillion during the next three months (April-June) of FY24, through the auction of Market Treasury Bills (MTBs), Pakistan Investment Bonds (PIBs) Fixed Rate, and PIBs Floating Rate.
Category
Target Amount (Rs Bn)
MTBs
2,475
PIB (Fixed Rate)
570
PIB (Floating Rate) Semi-Annual
1,120
PIB (Floating Rate) Quarterly
400
Total
4,565
The breakup of the target reveals that the government is targeting to borrow Rs2.475tr during April-June of 2024 through MTBs and the remaining Rs2.09bn through PIBs.
SBP plans to conduct seven auctions of MTBs in April-June 2024 to meet this target.
In April, two more auctions were scheduled, as one was already held on April 03, with a raised amount of Rs557.6 billion. The second is scheduled for April 17, with a target of Rs525bn, while the third would be held on April 30 to collect Rs300bn.
In May, two auctions will be held, one on May 15 with a target of Rs450bn, and the second on May 29 with a target of Rs150bn.
Moving forward, two auctions for MTBs are scheduled to be held within June, the first one being on June 12 with a target of Rs675bn, while the final auction for the review quarter is scheduled for June 26, targeting Rs150bn.
Furthermore, the segment-wise data for the Rs2.09bn that the central bank plans to raise through PIBs shows that Rs570bn is set to be raised through fixed-rate PIBs, Rs1.12tr through semiannual floaters, and the remaining Rs400bn through quarterly floaters.
Apart from the April 04 auction for fixed-rate bonds, SBP will keep two more auctions this quarter, one is scheduled for May 22, and the other for June 19, both with a target of Rs190bn each.
For the semiannual and quarterly bonds, the central bank has planned a total of 7 auctions, with one already conducted on April 03.
