Secondary trading of treasury bills and bonds jumps in Q1


FE ONLINE REPORT | Published: October 11, 2021 11:42:55 | Updated: October 11, 2021 17:22:04


Secondary trading of treasury bills and bonds jumps in Q1

Transactions of the government’s treasury bills and bonds in the secondary market jumped significantly in the first quarter (July-September) of the current fiscal year (FY22).

Bangladesh Bank statistics showed that the secondary trading of the government’s fixed-income tradable securities was recorded at Tk 387.04 billion in the first quarter of FY22.

The value was Tk 416.20 billion in the same period of the past fiscal year (FY21).

Treasury bills are short-term debt instruments of the government while treasury bonds are long-term in nature.

The combined transaction of short-term and long-term securities was recorded at 125.14 billion in the last quarter (April-June) of FY21.

The central bank, on behalf of the government, issues the treasury bills to manage day-to-day liquidity and treasury bonds to finance the budget deficit.

The combined value of the annual secondary transactions of treasury bills and bonds stood at Tk 1377.70 billion (or Tk 1.37 trillion) in FY21. In FY20, the transaction value was recorded at Tk 594.77 billion.

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