Close Menu
World Economist – Global Markets, Finance & Economic Insights
  • Home
  • Economist Impact
    • Economist Intelligence
    • Finance & Economics
  • Business
  • Asia
  • China
  • Europe
  • Economy
  • USA
    • Middle East & Africa
    • Highlights
  • This week
  • World Economy
    • World News
What's Hot

Why 2 of our megacap tech names are prevailing in Friday’s weaker market

July 11, 2025

Trump’s immigration agenda follows the trade template — for good and ill

July 11, 2025

Minister urges early commencement of transshipment operations between Gwadar, Persian Gulf – Markets

July 11, 2025
Facebook X (Twitter) Instagram
Friday, July 11
Facebook X (Twitter) Instagram
World Economist – Global Markets, Finance & Economic Insights
  • Home
  • Economist Impact
    • Economist Intelligence
    • Finance & Economics
  • Business
  • Asia
  • China
  • Europe
  • Economy
  • USA
    • Middle East & Africa
    • Highlights
  • This week
  • World Economy
    • World News
World Economist – Global Markets, Finance & Economic Insights
Home » Govt raises Rs1.2tr at auctions for bonds, T-bills – Business
Economist Impact

Govt raises Rs1.2tr at auctions for bonds, T-bills – Business

adminBy adminMarch 6, 2025No Comments2 Mins Read
Share Facebook Twitter Pinterest Copy Link LinkedIn Tumblr Email VKontakte Telegram
Share
Facebook Twitter Pinterest Email Copy Link
Post Views: 67


KARACHI: Amid the high possibility of no further cuts in the interest rate, investors made a total of Rs2.207 trillion bids, mostly for the long-term tenors, with no change in the cut-off yields at the treasury bills (T-bills) and Pakistan Investment Bonds (PIBs) auctions on Wednesday.

Announcing the results of the auctions, the State Bank of Pakistan (SBP) reported that the government raised a total of Rs1.2tr, which reflected a change in investment patterns.

With the steep fall of the interest rate from 22 per cent to 12pc in the first seven months of FY25, the banks preferred to park their liquidity in long-term tenors while the government was also willing to raise cheaper money for an extended period.

The market found a balance between interest rates and investment over an extended period. The inflation fell to 1.5pc in February, and a further dip is possible in March. However, the State Bank expects a rise in inflation after March, so no more interest rate cuts look likely in the upcoming monetary policy.

Most of bids received for long-term tenors amid no change in yields

However, market experts are divided as some expect a 50 basis point cut in the Monetary Policy Committee’s meeting on March 10.

In the T-bills auction, the government raised Rs569bn against the target of Rs700bn, much lower than the maturity amount of Rs946bn.

Maturity means the amount of T-bills the government needs to pay back to the investors.

The bids for T-bills and PIBs were Rs1,237bn and Rs970bn, respectively.

The government raised the highest amount of Rs398bn for a three-month T-bill tenor at 11.82pc. It raised Rs49.3bn for six-month and Rs66bn for 12-month tenors at 11.67pc and 11.64pc.

In the case of PIBs, the government preferred to raise the highest amount for 10 years while it rejected bids for two years. An amount of Rs595bn was raised for 10-year PIBs while Rs25bn was raised for five years, totalling Rs629.3bn (including non-bidding amount).

Market experts said that despite the low interest rate, the banks still rely on the government’s borrowing to earn risk-free profits as they did in 2024. However, it was also observed that the government and the banks were waiting for the outcome of the talks with the IMF.

Published in Dawn, March 6th, 2025



Source link

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email Telegram Copy Link
admin
  • Website

Related Posts

Economist Impact

PSX hits all-time high as proposed ‘neutral-to-positive’ budget well-received by investors – Business

June 11, 2025
Economist Impact

Sindh govt to allocate funds for EV taxis, scooters in provincial budget: minister – Pakistan

June 11, 2025
Economist Impact

US, China reach deal to ease export curbs, keep tariff truce alive – World

June 11, 2025
Economist Impact

Budget lacks steps to cure economic ills, complain industry leaders – Business

June 11, 2025
Economist Impact

Rs200bn relief unveiled in major tariff overhaul – Business

June 11, 2025
Economist Impact

Budget 2025-26: FM Aurangzeb acknowledges pain, calls budget ‘foundation’ for Pakistan’s future – Business

June 11, 2025
Add A Comment
Leave A Reply Cancel Reply

Editors Picks

Minister urges early commencement of transshipment operations between Gwadar, Persian Gulf – Markets

July 11, 2025

Google expands creative AI tools in Pakistan with Veo 3, Flow – Technology

July 11, 2025

Pakistan, Vietnam to initiate talks on Preferential Trade Agreement this year – Business & Finance

July 11, 2025

Pakistan, Russia ink agreement to modernise PSM – Business & Finance

July 11, 2025
Latest Posts

PSX hits all-time high as proposed ‘neutral-to-positive’ budget well-received by investors – Business

June 11, 2025

Sindh govt to allocate funds for EV taxis, scooters in provincial budget: minister – Pakistan

June 11, 2025

US, China reach deal to ease export curbs, keep tariff truce alive – World

June 11, 2025

Subscribe to News

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

Recent Posts

  • Why 2 of our megacap tech names are prevailing in Friday’s weaker market
  • Trump’s immigration agenda follows the trade template — for good and ill
  • Minister urges early commencement of transshipment operations between Gwadar, Persian Gulf – Markets
  • US dollar edges up after Trump’s new tariffs
  • These are America’s cheapest states to live in for 2025

Recent Comments

No comments to show.

Welcome to World-Economist.com, your trusted source for in-depth analysis, expert insights, and the latest news on global finance and economics. Our mission is to provide readers with accurate, data-driven reports that shape the understanding of economic trends worldwide.

Latest Posts

Why 2 of our megacap tech names are prevailing in Friday’s weaker market

July 11, 2025

Trump’s immigration agenda follows the trade template — for good and ill

July 11, 2025

Minister urges early commencement of transshipment operations between Gwadar, Persian Gulf – Markets

July 11, 2025

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

Archives

  • July 2025
  • June 2025
  • May 2025
  • April 2025
  • March 2025
  • February 2025
  • January 2025
  • December 2024
  • June 2024
  • October 2022
  • March 2022
  • July 2021
  • February 2021
  • January 2021
  • November 2019
  • April 2011
  • January 2011
  • December 2007
  • July 2007

Categories

  • AI & Tech
  • Asia
  • Banking
  • Business
  • Business
  • China
  • Climate
  • Computing
  • Economist Impact
  • Economist Intelligence
  • Economy
  • Editor's Choice
  • Europe
  • Europe
  • Featured
  • Featured Business
  • Featured Climate
  • Featured Health
  • Featured Science & Tech
  • Featured Travel
  • Finance & Economics
  • Health
  • Highlights
  • Markets
  • Middle East
  • Middle East & Africa
  • Middle East News
  • Most Viewed News
  • News Highlights
  • Other News
  • Politics
  • Russia
  • Science
  • Science & Tech
  • Social
  • Space Science
  • Sports
  • Sports Roundup
  • Tech
  • This week
  • Top Featured
  • Travel
  • Trending Posts
  • Ukraine Conflict
  • Uncategorized
  • US Politics
  • USA
  • World
  • World & Politics
  • World Economy
  • World News
© 2025 world-economist. Designed by world-economist.
  • Home
  • About Us
  • Advertise With Us
  • Contact Us
  • DMCA
  • Privacy Policy
  • Terms & Conditions

Type above and press Enter to search. Press Esc to cancel.