The Central Bank of Egypt (CBE) received 32 offers from local and foreign investors to invest $1.0548bn in the treasury bills (T-Bills) auction launched on Monday.
The CBE launched an auction of $900m T-Bills a maturity of 364 days, due on 9 February 2021. The proceeds of this issuance will be directed to repay the earlier T-Bills issuance of $1.0141bn launched by the CBE on 12 February 2019.
The CBE accepted 27 of those offers, at a value of $984.8m at an interest that ranged between 3.44% as the lowest price, 3.5% as the highest price, and 3.491% on average, compared to 3.52%, 3.55%, and 3.54%, respectively, in a similar auction in January 2020.
The CBE rejected other offers from investors who requested an interest of 4.10%.
This is the second batch of T-Bills offered by the CBE this year. In 2019, the CBE offered six batches to collect $6.1432bn.
The CBE allows subscribing to these bills for both local banks and foreign institutions, with a minimum subscription of $100,000 and its multiples.
The yields of these issuances are controlled by several indicators, the most important of which are the US dollar liquidity in the market, alternative investment opportunities available to banks and domestic and foreign financial institutions, and credit rating of the state.