T-Bill Yields Hold Steady Amidst Under-Subscribed Rs. 120 Bn Auction 📈

• Treasury Bill Auction: Weighted Average Yield Rates (WAYR) remained unchanged across all tenors. The 91-day stood at 7.61%, 182-day at 7.91%, and 364-day at 8.23%. • Auction Performance: The auction was significantly undersubscribed, raising only Rs. 60.79 Bn (50.66%) of the Rs. 120 Bn offered. The bid-to-cover ratio was recorded at 1.73 times. • Secondary Bond Market: In contrast to T-Bills, bond yields continued an upward trend driven by bearish sentiment. This is linked to the Middle East conflict, rising oil prices, and potential fuel rationing affecting the broader transport and energy sectors. • Yield Specifics: Notable trades included the 2026 maturity at 8.00%-8.10%, while longer-term 2035 maturities reached 10.98%. Total secondary market volume for March 17 was Rs. 16.13 Bn. • Liquidity & Forex: The money market maintained a net liquidity surplus of Rs. 341.21 Bn. In the forex market, the USD/LKR spot rate closed slightly wider at 311.30/311.50, with a daily traded volume of US$ 57 Mn. _Note: Data based on provisional auction and market results as of March 19, 2026._