Cairo – Mubasher: The Central Bank of Egypt (CBE) will offer treasury bonds (T-bonds) worth EGP 13 billion on Monday on behalf of the Ministry of Finance.
The first tranche of the T-bonds will be offered through five-year notes valued at EGP 6.5 billion, while the second tranche is worth EGP 6 billion and will be offered through 10-year notes, the CBE said on its official website.
The CBE will also offer 15-year T-bonds worth EGP 500 million.
The issuance will be used to finance the country’s budget deficit. State-run banks are the top purchasers of government debt instruments.
Earlier in June, the CBE’s Monetary Policy Committee (MPC) decided to leave interest rates on hold for the fourth time in a row in 2021.
In November 2020, the MPC cut the overnight deposit rate, the overnight lending rate, and the main operation rate by 0.5% to 8.25%, 9.25%, and 8.75%, respectively.
In June 2020, the Minister of Finance, Mohamed Maait, issued a decision to establish a unit at the Egyptian Tax Authority to follow up on the collection and supply of taxes on returns of T-bills and bonds.
In May 2020, Egypt secured a $2.7 billion loan from the International Monetary Fund (IMF) under the rapid financing instrument (RFI).
