ECONOMYNEXT – Sri Lanka has sold all offered bills at a 56 billion rupees Treasuries auction with 3 and 6 month bill yields moving marginally up, and volumes skewed sharply towards the short end, data from the state debt office shows.
The debt office sold 47 billion rupees of 3 month bills after 15 billion at 5.21 basis points after offering 5.19 percent.
Another 8.2 billion rupees of bills were sold at 5.22 basis points, up 02 basis points after offering 23.5 billion rupees.
A small 30 million rupee tranche was sold at 5.24 percent, up from 5.23 percent after offering 17.5 billion rupees.
Sri Lanka’s central bank held 917 billion rupees of bills already issued as of July 15.
Last week a 3 billion rupee tranche of bills were sold down, reversing some earlier liquidity injections.
With ceiling yield bill auctions had in the past tended to be successful only when private credit was weak. (Colombo/July16/2021)