ECB monetary operations
On November 11, the European Central Bank announced the seven-day main refinancing operation (MRO). The operation was conducted on November 12 and attracted bids from euro area eligible counterparties of €9,188 million, €698 million less than the previous week. The amount was allotted in full at a fixed rate equivalent to the prevailing MRO rate of 3.40%, in accordance with current ECB policy.
On November 13, 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 $125 million, which were allotted in full at a fixed rate of 4.83%.
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 November 14, maturing on February 13 and May 15, 2025, respectively.
Bids of €101.68 million were submitted for the 91-day bills, with the Treasury accepting €48.01 million, while bids of €22.30 million were submitted for the 182-day bills, with the Treasury accepting €17.30 million. Since €19.91 million worth of bills matured during the week, the outstanding balance of Treasury bills increased by €45.41 million, standing at €473.18 million.
The yield from the 91-day bill auction was 3.130%, increasing by 0.10 basis point from bids with a similar tenor issued on November 7, representing a bid price of €99.2150 per €100 nominal. The yield from the 182-day bill auction was 2.765%, increasing by 19.0 basis points from bids with a similar tenor also issued on November 7, representing a bid price of €98.6214 per €100 nominal.
During the week, secondary market turnover in Malta Government Treasury bills amounted to €115,000, all executed on the on-exchange market of the Malta Stock Exchange.
Today, the Treasury will invite tenders for 91-day and 364-day bills maturing on February 20 and November 20, 2025, respectively.
This article is prepared by the Monetary Operations and Collateral Management Office of the Central Bank of Malta.