Karachi March 16 2022: The government on March 22, 2022 raised PKR 192.8 billion through an auction of fixed rate Pakistan Investment Bonds (PIBs) compared to target of PKR 100 billion, as per data published by State Bank of Pakistan (SBP).
Cut-off yields increased by 88-115 bps compared to 16th February PIB Auction.
The cut-off yields for 3 years up by 115 basis points percent to 11.8500 percent. Cut-off yield for 5 years and 10 years also increased by 100 basis points and 88 basis points, respectively. Cut-off for 5 years and 10 years is now 11.7497 percent and 11.7418 percent, respectively.
The government borrowed amount of PKR 53.5 billion, PKR 80.43 billion and PKR 58.92 billion from the auction of 3 years, 5 years and 10 years PIBs, respectively. The target for current auction was set at PKR 30 billion for 3 years PIBs, PKR 25 billion for 5 years PIBs, PKR 20 billion for 10 years PIBs, PKR 15 billion for 15 years PIBs, PKR 5 billion for 20 years PIBs and PKR 5 billion for 30 years PIBs.
Investors did not bid for 30 years while government reject the bids for 15 years and 20 years PIBs.