SBP T-Bill Auction on 14 October 2026 Draws Rs 2.64 Trillion in Bids for a Rs 550 Billion Target
Dealers bid Rs 2.64 trillion for the SBP T-bill auction of 14 October 2026, 4.8 times the Rs 550 billion target. See the lowest bids and estimated yields.
Primary dealers bid Rs 2,640 billion for the State Bank's T-bill auction on 14 October 2026, nearly five times the Rs 550 billion target. The lowest bid for the 12-month bill was 12.35 per cent a year, above the 11.50 per cent policy rate. The State Bank had not posted the accepted bids and cut-off yields when we checked on the afternoon of 14 October.
A treasury bill, or T-bill, is a short loan to the government. You pay less than Rs 100 today and get Rs 100 back when the bill matures. The gap is the yield. The State Bank sells T-bills at auctions every two weeks, in four lengths: one, three, six and twelve months.
Bids came in at Rs 2,640 billion against a Rs 550 billion target
The State Bank's bid report for auction number 735 lists every bid. We added the four lengths together. The total is Rs 2,640.4 billion in face value. The target set in the October to December calendar was Rs 550 billion for this auction, so bids were 4.8 times the target.
Most of the demand was in the shortest bill. The one-month bill drew Rs 981.5 billion of bids against a target of only Rs 50 billion, which is 19.6 times. The six-month bill drew Rs 842.0 billion against Rs 150 billion.
| Bill | Target (Rs billion) | Bids (Rs billion) | Bids as multiple of target |
|---|---|---|---|
| 1 month (28 days) | 50 | 981.5 | 19.6 |
| 3 month (84 days) | 200 | 401.0 | 2.0 |
| 6 month (182 days) | 150 | 842.0 | 5.6 |
| 12 month (364 days) | 150 | 416.0 | 2.8 |
| Total | 550 | 2,640.4 | 4.8 |
The State Bank's calendar says Rs 559 billion of older bills mature on 14 October. Rs 200 billion of that is owed to provincial governments. So the target of Rs 550 billion is close to what the government must repay on the day.
The lowest bids ran from 11.30 per cent to 12.35 per cent
Each bid names a yield, which is the rate the bidder wants. The lowest bid in each length is the cheapest money the government was offered. It is not the price it paid.
- One month: lowest bid 11.30 per cent, highest 14.50 per cent.
- Three months: lowest bid 11.50 per cent, highest 12.90 per cent.
- Six months: lowest bid 11.68 per cent, highest 13.25 per cent.
- Twelve months: lowest bid 12.35 per cent, highest 13.49 per cent.
The policy rate is 11.50 per cent, as the State Bank holds it since 28 April 2026. Only the one-month bill and the first bid on the three-month bill came in at or near that level. Every six-month and twelve-month bid was above it, which suggests bidders want more than the policy rate for lending longer. That is our reading, and the State Bank's report does not say what bidders expect.
The State Bank next meets on 26 October to decide the rate, as in our note on the next monetary policy meeting. In September it held the rate, as covered in the report on the hold at 11.5 per cent.
Our estimate of where the cut-off lands
The State Bank decides which bids to accept. It does not have to take the lowest ones, and it can reject all bids. We do not know what it did today. As a rough guide, we lined the bids up from the lowest yield and stopped where the running total reached each target.
On that arithmetic the yields at the target would be about 11.42 per cent for one month, 12.39 per cent for three months, 12.40 per cent for six months and 12.85 per cent for twelve months. The 30 September auction ended at 11.68, 11.99, 12.45 and 12.49 per cent, according to the State Bank's result sheet.
If the State Bank accepted only that much, the three-month and twelve-month yields would be higher than on 30 September, and the one-month yield would be lower. If it accepted more than the target, yields would be higher. Treat the numbers as an estimate until the State Bank posts its own result.
What T-bill yields mean for your savings
T-bill yields feed into the rates that banks and savings schemes offer. A government that pays 12 per cent for twelve months makes it harder for a bank to pay much less on a fixed deposit. You can see the bank side in the table of fixed deposit rates for October.
You can also buy a T-bill yourself without a bank, through the State Bank's platform. The steps are in the guide on how to invest in treasury bills. Check the yield on the day, because it moves at every auction.
For the borrowing plan behind these auctions, the T-bill auction calendar for October to December shows the target for each date. The next auction is on 28 October, when Rs 1,050 billion is due to be sold.
How to read the State Bank's bid report
The State Bank publishes the bid report on the day of each auction. It is free and needs no login.
- Open the State Bank's Economic Data page at sbp.org.pk/ecodata.
- Find "Market Treasury Bills Auction Bid Report" and open the PDF for the latest date.
- Look at the heading of each section to see the length of the bill and its maturity date.
- Read the "Bid Yield per Annum" column. The first row is the lowest bid.
- Read the "Running Total" column. The last row is the total bids for that length, in Rs million.
- Compare the total with the target in the auction calendar to see how crowded the auction was.
Common questions about the 14 October T-bill auction
How much did the government want to raise on 14 October?
The target was Rs 550 billion: Rs 50 billion in one-month bills, Rs 200 billion in three-month, Rs 150 billion in six-month and Rs 150 billion in twelve-month bills. This comes from the State Bank's October to December calendar.
How much did primary dealers bid?
Bids added up to Rs 2,640.4 billion in face value, about 4.8 times the target. The one-month bill drew the most, at Rs 981.5 billion.
What were the cut-off yields?
We do not know yet. The State Bank had not posted the result when we checked on the afternoon of 14 October. The last published cut-offs, from 30 September, were 11.68, 11.99, 12.45 and 12.49 per cent.
Is a T-bill yield the same as a bank profit rate?
No. The yield is what the government pays on the bill, and it is a discount rate for a fixed term. Bank deposit rates are set by each bank and by State Bank rules. The two move together over time but not on the same day.
Can an ordinary person buy a T-bill?
Yes, through the State Bank's platform for government securities or through a bank. Check the current yield on the day you buy and the tax on the profit.
How we verified this
What we checked, where we read it, and what we could not confirm.
Last checked on the afternoon of 14 October 2026. Bids and yields come from the State Bank of Pakistan's bid report for auction 735. Targets and maturities come from its auction target calendar, and the 30 September cut-offs come from its result sheet. The bid totals, the multiples and the estimated yields at target are our arithmetic. The State Bank's own result for 14 October was not posted when we checked, so the final yields may differ.
About the author
Global Affairs & Political Economy Writer
Muhammad Hatim is a book lover who started writing because he enjoys it. At Pakistan Era he writes about international relations, geopolitics and the global economy, with a particular interest in South Asia and the forces behind current events.
