MTBs auction: Rs 160.56 billion bids accepted

The State Bank of Pakistan on Wednesday accepted bids worth Rs 160.56 billion for the sale of Government of Pakistan Market Treasury Bills. Overall, a heavy precipitation was witnessed in the MTBs auction, as overall Rs 198.56 billion worth bids were received for sale of 3-, 6- and 12-month T-Bills.
The State Bank of Pakistan (SBP) on Wednesday accepted Rs 160.56 billion worth bids for the auction of 3-, and 6-month Government of Pakistan Market Treasury Bills. The SBP invited the bids through Primary Dealers from January 11-12, 2011. Bids were opened at 1130 hours on January 11. It received Rs 198.56 billion bids with realised value of Rs 191.143 billion for the sale of 3-, 6- and 12-month T-Bills.
Major participation was witnessed in the 3-month T-Bills, which shows that banks were interested in short-term investment. The SBP received Rs 171.769 billion worth bids for the sale of 3 months T-Bills, out of which Rs 150.069 billion of Rs 145.6 billion realised amount bid was accepted and cut-off yield of three-month was set at 13.4389 percent, up 18 basis points. The six-month T-Bills yield increased by 9 bps to 13.5527 percent with acceptance of Rs 10.491 billion bids. However, the SBP rejected all the bids for 12-month which attracted Rs 10 billion.