The Government of Pakistan, in coordination with the State Bank of Pakistan (SBP), has announced an extensive auction calendar aimed at raising over Rs5.8 trillion in government securities from November 2025 through January 2026. This initiative is part of a broader fiscal strategy to secure budgetary financing, manage liquidity in the financial system, and maintain monetary stability amid high interest rates and constrained fiscal space.
According to the Domestic Markets and Monetary Management Department (DMMD) of the SBP, the program encompasses multiple instruments, including Market Treasury Bills (MTBs), Pakistan Investment Bonds (PIBs), Government Ijara Sukuk (GIS), and a buyback of floating-rate PIBs. These measures are intended to provide the government with necessary funding while also ensuring orderly functioning of Pakistan’s debt and money markets.
The SBP plans to raise Rs3.6 trillion through six scheduled MTB auctions on November 12, November 26, December 10, December 24, January 7, and January 21, against maturities totaling Rs4.013 trillion. The largest MTBs will target Rs800 billion on December 11, followed by Rs650 billion and Rs600 billion on November 27, January 8, and January 22. Allocation across tenors will include Rs600 billion in one-month bills, Rs900 billion in three-month bills, Rs950 billion in six-month instruments, and Rs1.15 trillion in 12-month bills, reflecting a diversified strategy to manage short- and medium-term liquidity.
Under the PIB program, the government aims to raise Rs1.7 trillion through a mix of fixed- and floating-rate bonds. Fixed-rate PIB auctions will take place on November 5, December 17, and January 14, targeting Rs1.2 trillion with yields ranging between 10.50% and 11.50% across two- to 15-year maturities. Additionally, six floating-rate PIB auctions are scheduled alongside the MTB dates, targeting Rs500 billion with a semi-annual coupon rate of 10.8974%. A buyback auction of floating-rate PIBs worth Rs200 billion will be conducted on November 12–13 to manage liquidity in the secondary market.
To further support Islamic banking liquidity, the SBP will purchase Rs275 billion in Government Ijara Sukuk on November 26 and December 24. This move highlights the integration of Shariah-compliant instruments into Pakistan’s broader debt management strategy.
The announcement coincides with a modest appreciation of the Pakistani rupee, which edged up by Re0.03 to 280.82 against the US dollar in the interbank market. Gold prices remained largely stable at Rs423,062 per tola, despite upward pressure from rising global bullion rates.
The ambitious auction program underscores the government’s strategic approach to managing fiscal pressures and stabilizing financial markets during challenging economic conditions. By leveraging a mix of short- and long-term instruments, including both conventional and Islamic products, the government aims to meet budgetary needs while ensuring sustainable debt management and maintaining investor confidence.
This coordinated effort between the SBP and the government is expected to play a crucial role in supporting monetary policy objectives, facilitating liquidity management, and reinforcing market stability as Pakistan navigates a period of high borrowing requirements and economic uncertainty.
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