The Ministry of Finance has begun to offer treasury bills, or T-Bills, worth more than MVR 2 billion on Sunday.
MVR 2.02 billion in T-bills will be issued in four instalments to raise revenue for the State, the finance ministry said.
The first tranche of T-bills will be issued at MVR 40 million for 28 days and MVR 240 million for 98 days. T-bills of MVR 135 million with a term of 182 days and MVR 1.6 billion with a tenure of one year are also included.
According to the finance ministry, the interest rate on the T-bills would range between 3.50 and 4.60 percent.
Last week, the government released MVR 2.51 billion in T-bills as part of its usual weekly T-bill issuance. T-bills issued by the government are typically purchased by pension funds, banks, and state-owned corporations.
The State’s obligation to repay T-bills has reached MVR 27 billion, according to finance ministry estimates.
In addition to the traditional T-bill, the government raised MVR 350 million using an Islamic T-Bill, using the Olympus and Velana Buildings as security.