The cutoff yields on Treasury Bills (T-Bills) were lower by 2-15 basis points (bps) in the auction of the paper on Wednesday.
According to the data released by the State Bank of Pakistan (SBP), the government was able to raise Rs. 1.74 trillion against an initial target of Rs. 800 billion and maturity of Rs. 791 billion in the auction.
According to official data, the cut-off yields for three-month T-Bills fell by 2 basis points to 15.230 percent from 15.250 percent on June 15.
Similarly, proceeds for the six-month paper fell by 15 basis points to 14.8001 percent from 14.9501 percent on June 15, while yields on the 12-month paper remained unchanged.
The government was able to raise Rs. 1,710 billion against its target of Rs. 200 billion for the three-month paper in the competitive auction. It did not borrow any amount for the six-month paper, but was able to raise Rs. 5 billion against a target of Rs. 300 billion through the 12-month bond during the auction.
A further breakdown of the official numbers indicates that the government also raised Rs. 27 billion through non-competitive bids, which took total proceeds to Rs. 1,742 billion.