The Central Bank of Bahrain (CBB) reported an oversubscription for the latest Government Treasury Bill (T-bill) issuance. The BHD35 million ($92.89 million) monthly offering, maturing in 182 days, attracted bids exceeding the available amount by a substantial 254 percent.
Issued on behalf of the Kingdom of Bahrain, the bills carry an issue date of August 25, and are scheduled to mature on February 23, 2025, BNA reported.
Furthermore, the weighted average interest rate for this issue settled at 5.94 percent, marking a slight decrease from the previous issuance on July 28, which had a rate of 6.29 percent.
Read more: CBB Government bond issue oversubscribed by 214 percent
The average price for the bills was approximately 97.086 percent, with the lowest accepted price reaching 97.033 percent.
This issuance, designated as No. 2031 (ISIN BH0001I87016), further brings the total outstanding value of Government T-bills to BHD2.110 billion.
In June, the CBB also issued government treasury bills worth BHD70 million ($185.68 million), which were oversubscribed by 112 percent.
Bahrain’s treasury bills
Bahrain’s central bank, in coordination with the Ministry of Finance and National Economy, issues government T-bills with different maturities, with the Ministry deciding the amount of each issuance.
Moreover, the central bank offers two types of securities: conventional and Islamic. Treasury bills are available in three maturity options: three-month (91 days) issued weekly, six-month (182 days) issued monthly, and twelve-month (364 days) issued monthly.
A diverse range of participants can invest in Bahrain’s treasury bills, including retail banks, wholesale banks, the Social Insurance Organisation, and other central banks. Additionally, individual investors and investment institutions can access these instruments through their retail banks or the Bahrain Bourse.
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