Govt. raises $ 700 m via Development Bonds

The Government has raised $ 700 million via the issuance of Sri Lanka Development Bonds (SLDBs) by the Central Bank. 

Offering three tenors with a fixed rate determined through competitive bidding, the Central Bank opted for $ 693.89 million of the $ 829.6 million bids received for the two year 10 months tenor at a weighted average fixed rate of 5.25% and the balance $ 6.11 million at 5.52% out of $ 44.1 million worth of bids received for the three year 10 months tenor. 

There were $ 63.21 million bids received for four years 10 months tenor but the Central Bank didn’t consider those.

The last SLDB issue worth $ 100 million was in April but the CBSL opted only for $ 47.5 million out of $183.6 million bids received on multiple tenor ranging from two and five years with fixed and floating rate options.