CBE attracts $1.041bn in bids for USD T-bills, accepts $961m at 3.75% rate
The Central Bank of Egypt (CBE) received 19 bids totaling $1.041bn in its USD-denominated local treasury bill auction held on Monday.
The offering, originally sized at $950m for a 364-day tenor maturing on 1 December 2026, drew strong investor interest. According to data published on the CBE’s website, the bank accepted 15 bids worth $961m at a yield of 3.75%, while rejecting offers that requested yields of up to 4.25%.
Proceeds from the auction will be used to refinance a previous USD-denominated treasury bill issuance from 3 December 2024, for which $980.5m had been accepted and which matures on Tuesday.
The CBE allows both domestic banks and foreign financial institutions to participate in these auctions, with a minimum subscription of $100,000 and multiples thereof. Subscriptions follow the same process as for local-currency bills: primary dealer banks submit bids specifying the desired amount and yield, after which the CBE aggregates and reviews the offers before determining the accepted allocation and rate.
Yields on USD-denominated treasury bills are influenced by several factors, including global dollar interest rates, alternative investment opportunities available to local and foreign institutions and Egypt’s sovereign credit rating.
The post CBE attracts $1.041bn in bids for USD T-bills, accepts $961m at 3.75% rate first appeared on Dailynewsegypt.