On September 17, the European Central Bank (ECB) announced its weekly main refinancing operation (MRO). The operation was conducted on September 18, and attracted bids from euro area eligible counterparties of €4.96 billion, €0.74 billion higher 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 September 19, 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 $0.09 billion, which was allotted in full at a fixed rate of 2.46 per cent.

During the week under review, participants in the first and second operations from the second series of targeted longer-term refinancing operations had the option of terminating or reducing their outstanding amount in these operations before maturity. Accordingly, on September 26, a total of €3.63 billion will be repaid.

Domestic Treasury bill market

In the domestic primary market for Treasury bills, the Treasury invited tenders for 91-day bills for settlement value September 20, maturing on December 20. Bids of €38 million were submitted, with the Treasury accepting €23 million. Since €27 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €4 million, to stand at €330.50 million.

The yield from the 91-day bill auction was -0.354 per cent, up by 0.4 basis point from bids with a similar tenor issued on September 13, representing a bid price of €100.0896 per €100 nominal.

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

Today, the Treasury will invite tenders for 92-day bills maturing on December 28.