While several countries in the eurozone struggle with rising debt and debt servicing costs, the Central Bank of Malta said today that interest rates had gone down on its latest tranche of treasury bills.
In its regular money-market report, the bank said that bids of €21.2 million were placed after the Treasury issued a call for tenders for 28-day bills maturing on December 30, 2011. The Treasury accepted only €1.5 million.
Since €20.25 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €18.75 million, to stand at €306.60 million.
The yield from the 28-day bill auction was 1.204%, i.e. 4.6 basis points lower than that on bills with a similar tenor issued on November 25, 2011, representing a bid price of 99.9064 per 100 nominal.
On Tuesday, the Treasury invited tenders for 91-day bills and 182-day bills maturing on 9 March, 2012 and June 8, 2012, respectively.