KARACHI February 16, 2022: The government on February 16, 2022 raised PKR 106.92 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 decreased by 9-11 bps compared to 27th January 2022 PIB Auction.
The cut-off yields for 3 years dropped by 9 basis points percent to 10.6998 percent. Cut-off yield for 5 years and 10 years dropped by 11 basis points for each. Cut-off for 5 years and 10 years is now 10.75 percent and 10.8 percent, respectively.
The government borrowed amount of PKR 6.2 billion, PKR 47.7 billion and PKR 53.01 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.