Money market report for the week ended August 8, 2025
Information on ECB monetary operations and the domestic Treasury bill market
ECB monetary operations
On August 4, the European Central Bank announced the seven-day main refinancing operation (MRO). The operation was conducted on August 5 and attracted bids from euro area eligible counterparties of €6,468 million, €3,730.50 million less than the previous week. The amount was allotted in full at a fixed rate equivalent to the prevailing MRO rate of 2.15%, in accordance with current ECB policy.
On August 6, the ECB conducted a seven-day US dollar funding operation through collateralised lending in conjunction with the US Federal Reserve. This operation attracted bids of $44.30 million, which were allotted in full at a fixed rate of 4.58%.
Domestic Treasury bill market
In the domestic primary market for Treasury bills, the Treasury invited tenders for 91-day and 182-day bills for settlement value August 7, maturing on November 6, 2025, and February 5, 2026, respectively.
Bids of €25.48 million were submitted for the 91-day bills, with the Treasury accepting €22.52 million, while bids of €18.15 million were submitted for the 182-day bills, with the Treasury accepting €8.19 million. Since €36.12 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €5.41 million, standing at €616.09 million.
The yield from the 91-day bill auction was 1.963%, decreasing by 3.60 basis points from bids with a similar tenor issued on July 31, representing a bid price of €99.5062 per €100 nominal. The yield from the 182-day bill auction was 1.970%, increasing by 1.50 basis points from bids with a similar tenor also issued on July 31, representing a bid price of €99.0139 per €100 nominal.
During the week, secondary market turnover in Malta Government Treasury bills amounted to €110,000, all executed on the On-exchange market of the Malta Stock Exchange.
Today, the Treasury will invite tenders for 91-day and 182-day bills maturing on November 13, 2025, and February 12, 2026, respectively.
The report is prepared by the Monetary Operations and Collateral Management Office of the Central Bank of Malta.