Sri Lanka short term Treasuries yields drop

Chandi Dharmaratne

May 16, 2012 (LBO) – Sri Lanka’s three month Treasuries yields dropped, though longer tenures moved up with record volumes of bills being sold by open auction, data released by the state office showed. The 3-month yield dropped 20 basis points to 11.99 basis points, the 6-month yield rose 10 basis points to 12.40 percent and the 12-month yield rose 09 basis points to 12.58 basis points.

The debt office, which is a unit of the Central Bank said 20.8 billion rupees of bids were accepted from the market after 15 billion rupees were offered.

The state sold 10.2 billion rupees of 3-month bills, 9.4 billion rupees of 6-month bills and 1.1 billion rupees of 12-month bills.