On Monday, September 5, the European Central Bank announced its weekly main refinancing operation (MRO). The operation was conducted on Tuesday, September 6, and attracted bids from euro area eligible counterparties of €41.78 billion, €2 billion lower than the bid amount of the previous week. The amount was allotted in full at a fixed rate equivalent to the prevailing MRO rate of zero per cent, in accordance with current ECB policy.

On Wednesday, September 7, the ECB conducted a seven-day US dollar funding operation through collateralised lending in conjunction with the US Federal Reserve. This operation attracted bids of $0.005 billion, which was allotted in full at a fixed rate of 0.91 per cent.

During the week under review, participants in the first series of targeted longer-term refinancing operations (TLTRO) shall be required to either repay their initial and additional TLTRO borrowings in full or the amount of their excess additional borrowing. Accordingly, on September 28, a total of €1.68 billion will be repaid.

Domestic Treasury bill market

In the domestic primary market for Treasury bills, the Treasury invited tenders for 91-day maturing on December 7. Bids of €15.20 million were submitted for the 91-day bills, with the Treasury accepting €10.20 million. Since €18 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €7.80 million, to stand at €274.75 million.

The yield from the 91-day bill auction was -0.363 per cent, up by 0.5 basis points from bids with a similar tenor issued on September 1, representing a bid price of 100.0918 per 100 nominal.

During the week under review, there was no trading on the Malta Stock Exchange.

Today, the Treasury will invite tenders for 91-day bills maturing on December 15.