KARACHI: The cut-off yield of 12-month government bonds declined by 7.7 percent to 17.73 percent during the last one year.
The State Bank of Pakistan (SBP) conducted the auction for the sale of Government of Pakistan Market Treasury Bills (MTBs) on Wednesday and received bids amounting to Rs 1.778 trillion.
Out of the received bids, the federal government raised Rs 354.6 billion through the sale of T-Bills against the target of Rs 210 billion and maturity of Rs205 billion.
The accepted amount includes Rs 259.6 billion of competitive bids.
The cut-off yields of all security papers have fallen higher than expectations, ie, from 50 to 54 basis points (bps) in the auction. Yield on the 3-month bond fell by 52 bps to 18.9748 with accepted bids of Rs 63 billion.
The 6-month MTBs yield declined by 54 bps to 18.7501 percent and an amount of Rs 111.2 billion was borrowed.
An amount of Rs 180 billion was raised through 12-month bond and its cut-off yield fell by 50 bps to 17.7393 percent. The one-year bond yield stood at 25 percent a year back.
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