SBP raises Rs1.172tr in debt auctions

The State Bank of Pakistan (SBP) raised a combined Rs1.172 trillion through its latest treasury bill and Pakistan Investment Bond (PIB) floater auctions, surpassing the Rs1.1 trillion aggregate target as robust bidding, totalling more than Rs2.45 trillion, drove a slight easing of yields and underscored investor confidence in a steady monetary policy landscape. The T-bill auction alone fetched Rs981 billion against a Rs1,000 billion goal, with cut-off yields dipping up to four basis points (bps) to 10.85% on one-month paper, while 10-year PIB floaters pulled in Rs191 billion out of bids of Rs523 billion, pricing at 95.5 for an implied 11.69% rate. This windfall, amid easing inflation and pre-monetary policy anticipation, bolsters government funding while hinting at potential rate-cut tailwinds for the December 15 review.