Egypt to issue 371bn pounds-debt instruments in Q1 of FY2017/18

Egypt’s Ministry of Finance intends to issue treasury bills and bonds worth 371 billion pounds during the first quarter of the financial year 2017/2018.

The treasury bills amount to 349.5 billion pounds, while the treasury bonds stand at 21.5 billion pounds, MoF added.

The value of debt instruments amounted to about 342 billion pounds in fourth quarter of financial year 2017/2018, and  299 billion pounds during the third quarter of the same year.

Egypt’s debt instruments, notably the treasury bills are attracting a large number of foreign investors, with a growth of return that exceeds 20 percent.

Dependence on debt instruments has led to higher cost of debt in the state budget to reach 380 billion  pounds within the next financial year.

Maturities 91-day, 182-day, 273-day, 364-day treasury bills will be issued at 84 billion pounds, 84.5 billion pounds, 90.5 billion pounds, and 90.5 billion pounds, respectively.

Meanwhile, maturities three-year, five-year, seven-year, ten-year treasury bonds will be issued at 6.25 billion pounds,  5.25 billion pounds, 4.75 billion pounds, and 5.25 billion pounds, respectively.