The yields at yesterday’s Treasury bill auction declined with three-month bill yields declining the most amid signals from the Central Bank that interest rates should start coming down with the expected deceleration in inflation.

The three-month bill yield fell eight basis points to 33.06 percent while the six-month bill yield fell two basis points to 32.51 percent. The 12-month bill yield also fell two basis points to 29.53 percent.

With the slight fall in the T-bill rates, the Central Bank was able to raise the full amount it offered in bills and avoid monetary financing of the government or money printing.

The Central Bank offered Rs.80 billion in bills—Rs.30 billion in three-month bills and Rs.25 billion each under six-month and one-year bills.

However, it raised Rs.64.1 billion in three-month bills, Rs.14.7 billion in six-month bills and Rs.1.1 billion in one-year bills.

The total bids received stood at Rs.140.1 billion.