How to Buy T-Bills and PIBs in Pakistan From Rs 5,000

Any individual in Pakistan with a bank account can buy treasury bills from Rs 5,000 through an IPS account at their bank, or by registering on SBP's InvestPak portal. At the 16 September 2026 auction, the 12 month bill's cut-off yield was 12.00 per cent a year.

Treasury bills, called T-bills or MTBs, are short government loans. Pakistan Investment Bonds (PIBs) are the longer version. The State Bank of Pakistan (SBP) sells both at auctions on behalf of the government, and small investors can join through a non-competitive bid, which simply accepts the auction's average rate.

We read the auction results, the MTB product sheet, the bidding rules and the individual investor guidelines on SBP's InvestPak portal on 29 September 2026. We also read FBR's 2026-27 withholding tax rate card. We did not place a bid ourselves.

Latest T-bill and PIB auction yields

At the 16 September 2026 auction, SBP accepted 3 month bills at a cut-off yield of 11.3849 per cent, 6 month at 11.7000 per cent and 12 month at 12.0000 per cent. All 1 month bids were rejected. At the 18 September PIB auction, the 3, 5 and 10 year yields were close to 12.5 per cent.

The T-bill auction was held on 16 September 2026 and settled on 17 September. The fixed rate PIB auction was held on 18 September and settled on 21 September. T-bill auctions come every two weeks, so check InvestPak's "Auction Results" page for a newer one before you bid.

The "cut-off yield" is the highest yield SBP accepted. The "weighted average yield" is the average of all accepted bids. That second number is the one that matters for you, as explained below.

How T-bills and PIBs work

A T-bill is a zero coupon bill. You pay less than its face value today and get the full face value at maturity. The difference is your profit. PIBs run from 2 to 30 years, and most pay a coupon, which is a regular profit payment during the bond's life.

SBP's InvestPak product sheet gives the T-bill details. Tenors are 1 month (28 days), 3 months (84 days), 6 months (182 days) and 12 months (364 days). The minimum is Rs 5,000 with no maximum. The rate is fixed until maturity.

Here is a worked example using the 16 September result. SBP accepted non-competitive bids for 12 month bills at a price of Rs 89.3887 per Rs 100. So Rs 89,388.70 bought bills worth Rs 100,000 at maturity. The profit is Rs 10,611.30 before tax.

PIBs come in more types: fixed coupon, floating rate and zero coupon. The fixed ones run 2, 3, 5, 10, 15, 20 and 30 years, according to SBP. Prices of PIBs move before maturity, so selling early can mean a gain or a loss.

Open an IPS account at your bank

An IPS (Investor Portfolio Securities) account is where your government securities are held. SBP says it is compulsory for buying them and any commercial bank in Pakistan can open one. It sits beside your normal bank account, which pays for the bills and receives the money at maturity.

You can ask for an IPS account at your branch, or start the request online by registering on InvestPak. Use the same mobile number and email that your bank already has on record. SBP warns that a mismatch sends the form back to you.

1. Open investpak.sbp.org.pk and choose "Register as Investor".
2. Enter your name, mother's name and bank IBAN. The bank name is fetched through Raast.
3. Verify your mobile number and email with the one-time codes sent to both.
4. Enter your IPS details, or request a new IPS account in the same form.
5. Wait for your bank to accept. Your login ID arrives by SMS and email.
6. At first login, change the password and set a 4 digit FPIN for placing bids.

Your bank can accept the request, reject it with a reason, or ask you for more information. Non-residents register without a Pakistani mobile number and get all codes by email, SBP says.

Non-competitive bids are the easy route

A non-competitive bid means you ask for an amount but not a rate. SBP accepts it at the weighted average yield of the auction. Banks, DFIs and investment banks cannot use it, so it exists for investors like you. Each investor may place only one per tenor.

A competitive bid names both the amount and the yield you want. If your yield is above the cut-off, your bid is rejected. That is how the whole 1 month tenor was rejected on 16 September. For a first purchase, the non-competitive bid removes the guesswork.

• Who can place one: all investors except banks, DFIs and investment banks.
• How many: one per tenor. SBP cancels all of them if you place more.
• Upper limit: 0.50 per cent of the auction target, up to Rs 500 million.
• Price: the auction's weighted average yield, the same for everyone.

If an auction is oversubscribed, SBP accepts non-competitive bids from the lowest amount upward, or on a pro rata basis. Small bids are therefore the least likely to be cut.

Tax on T-bill and PIB profit

Profit on government securities is taxed at source. FBR's 2026-27 rate card sets 20 per cent when the holder is not an individual, and 15 per cent in other cases, which on the card's wording covers individuals. People not on the Active Taxpayers List pay double.

On the worked example above, 15 per cent of Rs 10,611.30 is about Rs 1,592, leaving roughly Rs 9,020. A non-filer would lose twice that, so check your filer status first. Ask your bank which rate it will apply, because the card itself says the Income Tax Ordinance prevails over it. The comparison with tax on bank profit is part of why some savers move to T-bills.

Selling early and other things to know

You do not have to hold to maturity. InvestPak lets registered investors sell government securities to their bank before maturity, at the day's market price. SBP publishes indicative quotes daily. Selling early can give you more or less than you expected.

Price and yield move in opposite directions. When yields rise after you buy, the market price of your bill or bond falls. With a 3 month bill this barely matters. With a 10 year PIB, it can matter a lot.

Compare T-bills with what the government pays retail savers directly. The National Savings profit rates are simpler to buy but change on their own schedule. If you are prepared to take market risk for a possibly higher return, investing in the PSX is the other door, with very different risks.

For complaints about InvestPak, SBP lists its call centre at 021-99214444 and 021-32434444, and a complaint tab inside the portal.

Common questions

What is the minimum amount to buy T-bills in Pakistan?

Rs 5,000, according to SBP's InvestPak product sheet. There is no maximum.

What is the latest 12 month T-bill yield?

12.0000 per cent cut-off, with a weighted average of 11.9036 per cent, at the 16 September 2026 auction.

Do I need an IPS account to buy treasury bills?

Yes. SBP says an IPS account is compulsory for buying government securities. Any commercial bank can open one.

How often are T-bill auctions held?

Every two weeks, on Wednesdays, according to SBP. The monthly auction calendar lists the dates and targets.

Can non-residents buy T-bills through InvestPak?

SBP's portal lets non-residents register, receiving codes by email instead of SMS. They still need a Pakistani bank account and an IPS account.

How much tax is deducted on T-bill profit?

FBR's 2026-27 rate card lists 15 per cent for individuals on the Active Taxpayers List and 30 per cent for non-filers. Confirm the rate with your bank.

How we verified this

What we checked, where we read it, and what we could not confirm.

Last checked on 29 September 2026. The T-bill yields and prices are read in SBP's Market Treasury Bills auction result for 16 September 2026, and the PIB yields in its fixed rate PIB result for 18 September 2026, both linked from the InvestPak auction results page. Tenors, the Rs 5,000 minimum, the non-competitive bid limits and eligibility are read on InvestPak's Market Treasury Bills sheet and its "Types of Bids in Auction" page. Registration steps, the IPS rule, non-resident registration, the FPIN and the complaint numbers are read in InvestPak's individual investor guidelines and FAQ. PIB tenors and the fortnightly Wednesday auctions are read on SBP's financial markets page. Tax rates are read in FBR's Withholding Tax Rate Card updated to 30 June 2026. The card does not name individuals holding government securities directly; we read them as falling under its "other cases" line and say so.