SBP revises instructions for buyback of govt securities

KARACHI: The State Bank of Pakistan (SBP) revised its operational instructions and procedures for the buyback of government securities on Tuesday, saying that it will conduct auctions for the buyback of market Treasury bills (T-bills) and Pakistan Investment Bonds (PIBs).

“[The] SBP will announce the details, such as security, target amount, auction schedule, etc, and auction result for the buyback of government securities on SBP pages at Refinitiv and Bloomberg, and on SBP website,” the SBP said in a circular.

“All primary dealers will be eligible to submit competitive bids in the auctions. Non-competitive bids can also be submitted as per existing instructions,” it added. In September last year, the government started a T-bill buyback programme to reprofile its debt and reduce the burden of debt servicing costs.