Cairo – Mubasher: The Central Bank of Egypt (CBE) will issue treasury bonds (T-bonds) worth EGP 2.25 billion on Monday on behalf of the Ministry of Finance (MoF).
The first tranche of the T-bonds will be offered through five-year notes valued at EGP 1.25 billion, whereas the second tranche amounts to EGP 1 billion and will be offered through ten-year notes, the CBE said via its official website.
The issuance will be used to finance the country’s budget deficit, the CBE added.
It is noteworthy that state-run banks are the largest holders of the government’s debt instruments.
Yield on the first issuance of T-bills after cutting interest rates by 150 basis points was below 16.5%.
The Egyptian government aims to slash public debt to gross domestic product (GDP) ratio to 82.5% by the end of June 2020 and 77.5% by the end of June 2022.
