Karachi January 24 2023: On January 24, 2024, the State Bank of Pakistan (SBP) raised a total of PKR 184 billion through the auction of market treasury bills at lower rates ahead of Monetary Policy Committee meeting scheduled for next week.
Majority of the acceptance remained in 12 Month tenure as investors believe monetary easing to start soon due to lower inflaiton trajectory.
The Monetary Policy Committee (MPC) of State Bank of Pakistan (SBP) will meet on Monday, January 29, 2024 to decide about Monetary Policy. More than 71 percent of the particpants expects no change in policy rate in the survey conducted by CFA society Pakistan. While 17.8 percent of the investors expect rate cut of 100 basis points and only 11.1 percent of the respondent view more than 100 basis points cut in policy rate.
The government received total bids worth PKR 1,120 billion and the highest bids of PKR 611 billion for 12 Month T-bills followed by PKR 446 billion for 3 Months and PKR 63 billion for 6 Months.
Cut-off yields decreased by 50 basis points for 3 Month T-Bills, 56 basis points for 6-Months and 62 basis point for 12 Month papers.
The cut-off yield for 3 Months, 6 Months and 12 Months paper settled at 20.4997 percent, 20.400 and 20.2298 percent, respectively.
Government raise an amount of PKR 116 billion in 12 Months followed by PKR 57.5 billion in 3 Months and PKR 11 billion in 6 Months.
The government raised PKR 184 billion in the latest auction against a target of PKR 225 billion.
