Government Seeks MVR 1.11 Billion Through Treasury Bill Sale
Bills are sold on 9 August with settlement on 10 August | Photo: AI
The government has opened subscriptions for MVR 1.11 billion in Treasury bills, providing investors with four short-term instruments ranging from 28 days to one year.
The offering, scheduled for sale on 9 August with settlement on 10 August, comprises MVR 265 million in 28-day bills, MVR 55.03 million in 98-day bills, MVR 255 million in 182-day bills and MVR 535 million in 364-day bills.
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Interest rates rise with the length of the investment period, from 3.50% for the 28-day bill to 4.60% for the 364-day bill. The 98-day and 182-day instruments carry rates of 3.87% and 4.23%, respectively.
The one-year bill accounts for almost half of the total amount offered and will mature on 9 August 2027. The remaining securities mature between September 2026 and February 2027.
Treasury bills are a principal means through which the government raises short-term financing in local currency. Investors are required to submit subscriptions using the Ministry of Finance and Public Enterprises’ prescribed form on the sale date and make full payment on the settlement date.
