SBP targets to raise Rs6.3tr: Auction Calendar March – May

February 27, 2025 (MLN): The government is targeting to raise Rs6.3 trillion during the three months from March - May 2025, through the auction of Market Treasury Bills (MTBs), Pakistan Investment Bonds (PIBs) Fixed Rate, and PIBs Floating Rate.

The breakup of the target reveals that the government is targeting to borrow Rs3.2tr during this period through MTBs and the remaining Rs3.1tr through PIBs.

SBP plans to conduct seven auctions of MTBs in the next three months to meet this target.

In March, three auctions are scheduled: the first one to be held on March 5, with a target of Rs700bn, the second is set for March 19, with a target of Rs600bn and third one will take place on March 27 with a target of Rs400bn.

Moreover, two auctions are also scheduled for April, one on April 16 with a target of Rs600bn, and the second on April 30 with a target of Rs300bn.

Moving forward, two auctions for MTBs are scheduled to be held within May, the first one being on May 14 with a target of Rs300bn, while the last auction for the review quarter is scheduled for May 28 with the equivalent target.

Additionally, SBP aims to raise Rs3.1tr through the sale of PIBs, which includes Rs1.05tr through the sale of PIBs Fixed Rate, and Rs2.05tr through PIBs semiannual floaters.

For the fixed-rate bonds, SBP will conduct three auctions this quarter, with a target of Rs350bn each.

Lately, the State Bank of Pakistan (SBP) has revised the coupon rates for Fixed-Rate Pakistan Investment Bonds (PIBs) effective January 16, 2025. The updated coupon rates are as follows:

Previously, the coupon rates issued on September 20, 2024, were higher, with the 03-Year, 05-Year, and 10-Year bonds carrying rates of 14.00%, 14.00%, and 13.00%, respectively.

For the semiannual bonds, the central bank has planned seven auctions. The 2-year PIB, issued on January 9, 2025, carries a coupon rate of 11.8901%. Meanwhile, both the 5-year and 10-year PIBs, issued on September 5, 2024, offer a coupon rate of 11.6424%.

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