KARACHI: The federal government has decided to generate Rs1,100 billion through auctions of market treasury bills and Pakistan investment bonds during May-July.
According to the State Bank of Pakistan (SBP), the central bank will auction treasury bills to raise Rs900 billion during the three months; out of which Rs592.54 billion will be required for repayment against the matured amount. Another additional amount of Rs307.46 billion has been targeted for the budgetary financing.
Total Rs200 billion has been targeted in auctions of bonds during the three months. Maturing amount for the bonds is around Rs1,392.8 billion. Total Rs1,353 billion is maturing in July.
The SBP’s broad money data showed that the government’s borrowing from commercial banks witnessed a decline of 16 percent to Rs1,072 billion during July 1 to April 24 from Rs1,280 billion in the same period a year earlier.
