Volume of outstanding balances of local T-bills, bonds hit LE4.44T by end of February

CAIRO - 23 March 2023:The volume of outstanding balances of local treasury bills and bonds (T-bills and bond) amounted to about LE 4.44 trillion by the end of February 2023, according to the Ministry of Finance.

 

The Ministry elaborated in its latest report that the volume of outstanding balances of treasury bills amounted to about LE 1.94 trillion, with about LE 860.842 billion for 364-day term, about LE 138.748 billion for 273-day term, and about LE 474.867 billion for 182-day term, in addition to about LE 466.336 billion, for 91-day term.

 

According to the Ministry of Finance, the maturity date for these bills extends from February 7, 2023 to January 30, 2024, taking into account that other bills with the same deadlines are re-issued on a weekly basis.

 

This comes as the Ministry of Finance revealed that the volume of outstanding balances of treasury bonds at the end of February reached approximately LE 2.500 trillion, of which about LE 260.135 billion in “zero coupon” bonds, and about LE 13.384 billion in variable-yield bonds that the Ministry of Finance started offering recently.

 

According to Finance, the maturity date for these bonds extends from March 17, 2023 to January 18, 2037, also taking into account that other bonds are re-bid on a weekly, periodic basis.

 

The banks operating in the Egyptian market are the largest sectors investing in bonds and treasury bills that the government offers periodically to cover the state budget deficit.

 

 

According to the government’s plan, the Ministry of Finance aims to issue 52 t-bills worth LE 1.014 trillion and 30 t-bonds worth LE 41.25 billion during the first quarter of 2023 (January-March 2023 period), which reflects the government’s need for liquidity in the short term.

 

These bonds and bills are offered through 15 banks that participate in the system of “primary dealers” in the “primary market”, and those banks resell part of them in the “secondary market”, to individual and local and foreign institutional investors.