T-bill yields steady; Rs.81.6 billion raised

The Central Bank raised Rs.81.6 billion in Treasury bills on behalf of the government yesterday, after offering Rs.85 billion in three-month, six-month and 12-month bills.

During yesterday’s auction, the yields barely changed compared with the previous week’s auction.

The Central Bank sold Rs.72.9 billion in three-month bills, at 31.94 percent, Rs.4.4 billion in six-month bills, at 30.59 percent and Rs.4.2 billion in 12-month bills, at 29.85 percent.

The three-month bill yield was down by one basis point, six-month yield by four basis points and 12-month yield by two basis points compared to the previous auction.

The bill auction received Rs.151.7 billion in total bids.

Sri Lanka, which defaulted on its debt in May, is currently engaging with its foreign creditors to restructure its debt. Whether the country will be pushed to restructure its domestic debt is yet to be seen.