Treasury bills (T-bills) worth MVR 3.49 billion have been sold in order to cover government expenditures.
On 16th November, the Finance Ministry announced the sale of T-bills for MVR 3.3 billion. However, statistics provided by the government following the transaction show that the ministry sold MVR 3.4 billion in T-bills.
The Finance Ministry issued a T-bill for MVR 453 million with a repayment period of 28 days, an MVR 333.7 million T-bill with a repayment period of 98 days, an MVR 999.8 million T-bill with a repayment period of 182 days, and an MVR 1.7 billion T-bill with a repayment duration of 364 days.
T-bill interest rates range from 3.50 percent to 4.60 percent. T-bill interest rates in the Maldives are currently 3.50 percent for one month. Three-month T-bills yield 3.87 percent, six-month T-bills yield 4.23 percent, and one-year T-bills are priced at 4.6 percent.
T-bills are typically purchased by the pension fund, banks, government-owned companies, as well as some private companies. The funds raised from the issuance of government securities are utilised to meet the government’s budget financing requirements.