Cairo - Mubasher: The Central Bank of Egypt (CBE) will issue on Sunday treasury bills worth EGP 12.25 billion, in coordination with the ministry of finance (MoF) to support the country’s budget deficit.
The treasury bills will be issued through two tranches, 91-day bills at EGP 6.25 billion, and 266-day bills worth around EGP 6 billion, as shown by the CBE’s website.
The Egyptian finance ministry estimates a total budget deficit for the fiscal year 2016-2017 at around EGP 319 billion compared to an actual deficit of EGP 339 billion in the year before.
The finance ministry aims at issuing debt instruments worth EGP 342 billion during the fourth quarter of fiscal year 2016-2017, the highest quarterly level ever, and with an increase of 17% compared to the same period the year before.
The MoF also plans to auction bonds and treasury bills worth EGP 105.25 billion in June to bridge the budget deficit, according to a previous statement.
Treasury bills will acquire 94% of total tenders in June, amounting to EGP 99 billion. In addition, the EGP 6.25 billion bond issuance will represent 6% of tenders in the same month.
Foreign participation in the government’s treasury bill auctions amounted to EGP 126 billion during the period from November 2016 to May 2017, said the deputy minister of finance for monetary policies Ahmed Kojak.
