KARACHI July 24 2024: In today’s treasury bill auction, the government raised PKR 431 billion, significantly exceeding the target of PKR 150 billion, achieving 3.2 times the intended amount despite a decline in cut-off yields ranging from 30 to 56 basis points.
The largest amount was raised through 6-month treasury bills, totaling PKR 225 billion, with cut-off yields for this paper declining by 50 basis points to 19.29 percent.
For 12-month treasury bills, the government secured PKR 162 billion, with yields dropping by 30 basis points to 18.24 percent.
Additionally, PKR 94 billion was raised in 3-month treasury bills, where yields fell by 56 basis points to 19.49 percent.
The yield gap between policy rate and 12-month secondary market yields has widened to 245 basis points, indicating that the market anticipates a rate cut in the upcoming monetary policy meeting on July 29, 2024.
