ECB monetary operations

On September 16, the European Central Bank (ECB) announced the seven-day main refinancing operations (MRO). The operation was conducted on September 17 and attracted bids from euro area eligible counterparties of €1,934.50 million, €118.50 million less than the previous week. The amount was allotted in full at a fixed rate equivalent to the prevailing MRO rate of 3.65%, in accordance with current ECB policy.

On September 18, 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 $150.50 million, which were allotted in full at a fixed rate of 5.17%.

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 September 19, maturing on December 19, 2024, and March 20, 2025, respectively.

Bids of €51.99 million were submitted for the 91-day bills, with the Treasury accepting €21.88 million, while bids of €10.67 million were submitted for the 182-day bills, with the Treasury accepting €10.62 million. Since €48.14 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €15.64 million, standing at €380.84 million.

The yield from the 91-day bill auction was 2.536%, decreasing by 9.40 basis points from bids with a similar tenor issued on September 12, representing a bid price of €99.3630 per €100 nominal. The yield from the 182-day bill auction was 2.372%, decreasing by 12.50 basis points from bids with a similar tenor also issued on September 12, representing a bid price of €98.8150 per €100 nominal.

During this week, there was no trading on the Malta Stock Exchange.

Today, the Treasury will invite tenders for 92-day and 182-day bills maturing on December 27, 2024, and March 27, 2025, respectively.

The report is prepared by the Monetary Operations and Collateral Management Office of the Central Bank of Malta.