Rs 113 Bn Treasury Bill Auction Fully Subscribed

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Daily report for the 02nd July 2025 – Courtesy Wealth Trust Securities Ltd

  • Rs 113 Bn Treasury Bill Auction Fully Subscribed
  • Secondary Bonds Market yields decrease
  • Rupee Appreciates

The weekly Treasury bill auction conducted yesterday was fully subscribed following two consecutive weeks of undersubscription. The auction raised the entire Rs 113 billion offer at the 1st phase in competitive bidding. The total bids received exceeded the offered amount by 1.57 times.

Interestingly, the weighted average yield rate on the 182-day tenor increased by 03 basis point to 7.78%, marking the third consecutive weekly increase. However, the weighted average yield rate on the 91-day tenor and 364-day tenors remained steady at 7.55% and 7.94% respectively. This marks the 5th consecutive week that these two tenors have remained unchanged at these levels.

The Phase II subscription for the 91-day and 182-day tenors is now open until 3.00 pm of business day prior to settlement date (i.e., 03.07.2025) at the WAYRs determined for the said ISINs at the auction.

Given below are the details of the auction (Phase 1);

Meanwhile, the secondary bond market saw yields decline across board, driven by continued buying interest. Market activity and transaction volumes were moderate.

The 15.09.27 maturity traded at the rate of 8.40%. The 15.03.28, 01.05.28 and 15.10.28 maturities were seen trading at the rates of 8.71%-8.70%, 8.76%-8.72% and 8.80%. The 15.10.29 and 15.12.29 maturities saw trades at the rates of 9.38% and 9.40%-9.39%. The 15.03.31 maturity traded at the rate of 9.95%. The 01.11.33 maturity traded at the rate of 10.65% to 10.61%.

In money markets, the weighted average rates on overnight call money and Repo stood at 7.74% and 7.75% respectively whiles the net liquidity surplus stood at Rs. 99.35 billion.

Forex Market 

In the Forex market, the USD/LKR rate on spot contracts appreciated to close Rs. 299.95/300.05 as against its previous day’s closing level of Rs. 300.00/300.10.

The total USD/LKR traded volume for 01st July 2025 was US $ 46.00 million.