Treasury bills (T-bills) worth MVR 1.2 billion have been opened for sale to cover government expenditure.
On Monday, the Ministry of Finance invited subscriptions for T-bills worth a total of MVR 1,214.9 million. This includes T-bills worth MVR 419 million with a repayment period of 28 days, and MVR 270 million with a 98-day repayment period. In addition, a T-bill of MVR 130.5 million is up for sale with a repayment period of 182 days, as well as a T-bill of MVR 422.4 million with a repayment period of 364 days.
The interest rate on the T-bills ranges from 3.50 percent to 4.60 percent.
T-bills are typically purchased by the pension fund, banks, government-owned companies, as well as some private companies also buy T-bills also purchase T-bills. The funds raised from the issuance of government securities are utilised to meet the government’s budget financing requirements.
