CAIRO: The Central Bank of Egypt (CBE) on behalf of the Ministry of Finance plans to auction 7 billion EGP ($917.35 million) in treasury bills Thursday, according to the bank’s official website.
The T-bills are scheduled to be offered in two installments: the first valued at 3 billion EGP with a 182-day term, and the second worth 4 billion EGP with a 364-day term.
The government intends to borrow 455 billion EGP during the current fiscal year. This comes amid efforts aimed at filling a soaring budget deficit that amounts to an estimated 14 percent of GDP for FY 2014-2015, before President Abdel Fatah al-Sisi ratified a revised and tightened budget in a move towards applying austerity measures.
In the revised budget, the shortfall was reduced to 240 billion EGP (10 percent of GDP), down from 292 billion EGP in the initial budget draft. The shortfall amounted to 12 percent of GDP in FY 2013-2014.