Govt slashes yields to raise Rs96.8bn at PIBs’ auction

KARACHI: The government on Wednesday raised Rs96.88 billion through the auction of Pakistan Inves­tment Bonds (PIBs) at slightly reduced cut-off yields.

The cut-off yield for three-year bonds was reduced by just one basis point to 16.64 per cent, for five-year PIBs by 3bps to 15.45pc and for 10-year bonds by 5bps to 14.29pc.

The government borrowing through PIBs was well below the target of Rs190bn. Financial sector experts observed that the government was mostly borrowing for short-term...