The Government of Pakistan successfully raised Rs160.85 billion through the auction of Ijara Sukuk bonds held at the Pakistan Stock Exchange (PSX), falling short of its Rs250 billion target.
The auction aimed to raise funds via three categories: GIS Variable Rental Rate (VRR), GIS Fixed Rental Rate (FRR), and GIS Fixed Rental Deal (FRD). Despite receiving total bids amounting to Rs697.3 billion, only a portion was accepted.
Breakdown of bids received includes:
- GIS FRD: Rs110.56 billion
- GIS VRR: Rs275.39 billion
- GIS FRR: Rs311.36 billion
From the 1-year GIS FRD segment, the government accepted Rs40.68 billion — Rs38.83 billion through competitive bids and Rs1.84 billion from non-competitive ones. The cut-off price was set at Rs90.73, translating to a rental yield of 10.25%, marking a decrease of 0.75 basis points.
For the GIS VRR segment, the government secured Rs75.98 billion in total:
- 3-year GIS VRR: Rs0
- 5-year GIS VRR: Rs35.38 billion
- 10-year GIS VRR: Rs40.6 billion
Of this amount, Rs74.93 billion came from competitive bids, while Rs1.05 billion came from non-competitive bids. Notably, the cut-off prices for both the 3-year and 5-year GIS VRR were set at Rs0.
In the GIS FRR category, a total of Rs44.19 billion was raised:
- 3-year GIS FRR: Rs27.28 billion
- 5-year GIS FRR: Rs6.91 billion
- 10-year GIS FRR: Rs10 billion
Here is the summary of accepted bids:
- GIS FRD: Competitive Rs38.83bn | Non-Competitive Rs1.84bn | Total Rs40.68bn
- GIS VRR: Competitive Rs74.93bn | Non-Competitive Rs1.05bn | Total Rs75.98bn
- GIS FRR: Competitive Rs43.7bn | Non-Competitive Rs0.49bn | Total Rs44.19bn
Total Raised: Rs160.85 billion
Originally, the target for the auction was Rs75 billion from the GIS FRD, Rs100 billion from the GIS VRR, and Rs75 billion from the GIS FRR.
