During its latest bids, the Central Bank of Egypt sold treasury bills worth 73.68 billion pounds, with maturities of 91, 273, 182, and 364 days.
Treasury bills are defined as a government debt instrument issued for a period ranging from three months to one year. Therefore, it is considered a short-term security.
Central bank auction
According to the Central Bank’s website, institutions submitted 218 offers for 182 days, worth 76.53 billion pounds, requesting an interest rate of 30.98%, and 67 offers for 364 days, worth 21.86 billion, requesting an interest rate of about 29.82%.
It also submitted about 49 offers worth 33.15 billion pounds for a period of 273 days, requesting an average interest rate of about 30.23%. It also submitted about 444 offers for a period of 91 days, worth 70.93 billion pounds. It requested a weighted average return of about 30.99.
On the other hand, the Ministry of Finance accepted about 183 offers for a period of 182 days worth 40.39 billion pounds, with a weighted average return of 30.21%, and 43 offers for a period of 364 days worth 3.74 billion, with an interest rate of about 26.24%.
The Ministry of Finance also accepted 15 offers for a period of 273 days worth 4.67 billion pounds, with a weighted average return of about 27.99%. There were about 363 offers for a period of 91 days, worth 24.88 billion pounds, with a weighted average return of about 30.65%.
Interest rates
It is noteworthy that the Monetary Policy Committee of the Central Bank of Egypt had decided in its last meeting to maintain the overnight deposit and lending rates and the Central Bank’s main operation rate at 27.25%, 28.25% and 27.75%, respectively. It also decided to keep the credit and discount rates at 27.75%.
