The federal government Wednesday borrowed some Rs 4 billion through auction of Pakistan Investment Bond (Fixed Rate). Auction of Pakistan Investment Bond (PIB) was held on September 5, 2018 for sale of 3-, 5-, 10- and 20-year maturity. Overall SBP received bids amounted to Rs 9.218 billion with total realized amount of Rs 9.79 billion for the sale of 3-, 5- and 10-year bonds. However, no bid was received for 20-year PIBs.
The federal government rejected all bids of 3-year and 10-year PIBs and raised Rs 4.4 billion with total realized value of Rs 4.25 billion through sale of 5-Year PIBs (Fixed Rate) at a cut-off yield of 9.2500 percent. The borrowed amount is less than target of Rs 50 billion set for this auction.