Sri Lanka rejects bids for 12-month treasuries

July 09, 2008 (LBO) – Sri Lanka has rejected bids for 12-month treasuries at an auction Wednesday and sold 3.6 billion rupees out of 8 billion rupees of maturing bills, the government’s debt office said. Last Wednesday 6-month bills edged up 08 basis points, and 12-month bills 7 basis points.

Yields of 3-month bills were steady at 17.42 percent, but 6-month yields edged up 06 basis points to a weighted average rate of 18.31 percent.

The debt office which is part of the island’s central bank was later in the market offering 6-month bills at 18.31 percent and 12-month bills at the last week’s auction rate of 18.60 percent, dealers said.