PIB’s cut-off yields down by 100bps – Alfalah Securities Limited

Karachi: Pakistan Investment Bond (PIBs) cut-off yields have fallen by 100bps after back to back cut in the discount rate by the State Bank.

According to Alfalah Securities, in the recent auction held on Wednesday, the cut-off yield of 10-year PIBs stands at 12.24%, down by 101 bps while, the cut-off yield of 5-year PIBs stands at 12.19%, down by 105bps. Furthermore, the cut-off yield for 3-year Pakistan Investment Bonds (PIBs) stood at 12.15 percent, down 107bps. The total realized amount of the auction was PkR 17.584 bn. Meanwhile, the coupon rates of PIBs of 3, 5, 7, 10, 15, 20 and 30 year maturity bonds were at 11.25%, 11.50%, 11.75%, 12.00%, 12.50%, 13.00% and 13.75%. However, no bids were observed for 15, 20 and 30 years PIBs while the bids for 7 year PIBs were rejected by the State Bank.

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