KARACHI, Sept 14: The cut-off yield on Pakistan’s benchmark six-month Treasury bills remained flat at an auction on Wednesday, indicating that the interest rates would hold current levels for the time being, dealers said.

The cut-off yield on the six-month T-bills stayed unchanged at 8.1388 per cent, however, the weighted average annual yield on the paper rose to 8.1388 per cent from 8.1245 per cent at the previous sale on Aug 31.

The State Bank of Pakistan also kept the cut-off yield on the three-month and 12-month T-bills unchanged at 8.10 per cent and 8.7907 per cent, respectively.

But the weighted average annual yield on the three-month T-bills rose to 8.1000 per cent from 7.9919 per cent at the Aug 31 auction. The weighted average annual yield on the 12-month paper also rose to 8.7907 per cent from 8.7830 per cent in that auction.

The central bank said it sold Rs480 million ($8.04 million) worth of six-month bills, Rs5.20 billion ($87.07 million) of three-month bills, and Rs3.585 billion ($60.03 million) of the 12-month paper.

It received total bids worth Rs9.269 billion, against a pre-auction target of Rs10 billion. Settlement of the auction will take place on Thursday.

—Reuters