CBE sells euro-dominated T-bills worth €610M

CAIRO – 20 August 2019: The Central Bank of Egypt (CBE) announced Tuesday selling the euro-denominated treasury bills (T-bills) with a 364-day term worth €610 million.

The CBE clarified on its website that the average yield on T-bills recorded 1.49 percent.

According to the data, CBE received about 37 offers for the tender on Monday, for a total value of €780.1 million.

The Ministry of Finance announced earlier that it depends on diversifying sources of financing between debt instruments and local and foreign markets.

It also noted as local interest rates begin to fall, long-term financing instruments can be expanded from the domestic market, rather than short-term borrowing, as well as expanding the issuance of medium and long-term bonds, instead of bills, to increase the life of debt and reduce the risk of refinancing existing indebtedness.

Egypt succeeded in reducing the government debt to GDP ratio to 90.5 percent by the end of June, compared to 98 in the same month last year.

The Egyptian government aims to reduce the government debt to GDP ratio to 82.5 percent by the end of June 2020 and to 77.5 percent by the end of June 2022.