CBE Offers EGP 100 Billion in Short-Term T-Bills to Fund Budget
Central Bank of Egypt Issues EGP 100 Billion in Treasury Bills in Coordination with Ministry of Finance
The Central Bank of Egypt (CBE) is issuing treasury bills (T-bills) worth a total of EGP 100 billion today, Sunday, in coordination with the Ministry of Finance to finance the budget deficit.
Details of the Issuance and Tenors
The offering consists of two separate tranches: the first tranche is valued at EGP 30 billion with a 91-day maturity, while the second tranche is worth EGP 70 billion with a 273-day maturity.
What Are Treasury Bills?
Treasury bills are defined as short-term government debt instruments issued by the state for periods ranging from 3 months to a full year, serving as a primary tool to secure fast financial liquidity.
Interest Rates Unchanged
This issuance follows the Monetary Policy Committee's (MPC) recent decision at the CBE to keep key benchmark interest rates unchanged. Consequently, the overnight deposit rate, overnight lending rate, and the rate of the main operation remain at 19.00%, 20.00%, and 19.50%, respectively, with the credit and discount rate also maintained at 19.50%.
Issuance Management and Budget Coverage
The Ministry of Finance authorizes the Central Bank throughout the fiscal year to manage its domestic issuances of EGP-denominated Treasury bills and bonds, with the proceeds designated to fund and cover various sectors of the state’s general budget.