ECB monetary operations
On April 12, the European Central Bank announced the seven-day main refinancing operations (MRO). The operation was conducted on April 13 and attracted bids from euro area eligible counterparties of €137 million, €53 million less than the previous week. The amount was allotted in full at a fixed rate equivalent to the prevailing MRO rate of zero per cent, in accordance with current ECB policy.
On April 14, the ECB conducted the seven-day and 84-day US dollar funding operations through collateralised lending in conjunction with the US Federal Reserve. The seven-day USD operation attracted bids of $43 million, which was allotted in full at a fixed rate of 0.32 per cent. The 84-day USD operation attracted bids of $5 million, which was also allotted in full at a fixed rate of 0.33 per cent.
Domestic Treasury bill market
In the domestic primary market for Treasury bills, the Treasury invited tenders for 91-day bills and 182-day bills for settlement value April 15, maturing on July 15 and October 14, respectively. Bids of €98 million were submitted for the 91-day bills, with the Treasury accepting €43 million, while bids of €90 million were submitted for the 182-day bills, with the Treasury accepting €10 million. Since €40 million worth of bills matured during the week, the outstanding balance of Treasury bills increased by €13 million, standing at €789.75 million. The yield from the 91-day bill auction was -0.459 per cent, a decrease of 0.2 basis point from bids with a similar tenor issued on April 8, representing a bid price of €100.1162 per €100 nominal. The yield from the 182-day bill auction was -0.458 per cent, an increase of 0.8 basis point from bids with a similar tenor also issued on April 8, representing a bid price of €100.2321 per €100 nominal.
During the week under review, turnover in Treasury bills on the Malta Stock Exchange in the regular market amounted to €24.25 million.
Today, the Treasury will invite tenders for 91-day bills and 273-day bills maturing on July 22, 2021 and January 20, 2022, respectively.