Cairo – Mubasher: The Central Bank of Egypt (CBE) will issue treasury bills (T-bills) worth EGP 18.75 billion on Sunday on behalf of the Ministry of Finance (MoF).

The first tranche of the T-bills amounts to EGP 9.25 billion and will be offered through 91-day notes, while the second tranche will be offered through 273-day notes valued at EGP 9.5 billion, the CBE said via its official website.

The issuance will be used to finance the country’s budget deficit. State-run banks are the largest holders of the government’s debt instruments.

In August, the CBE’s Monetary Policy Committee (MPC) decided to reduce the current interest rates by 150 basis points (bps).

At the end of July, foreign holdings of Egypt's debt instruments reached $20.1 billion, board member of the CBE Fakhry El Fekki previously told Mubasher.

The North African nation aims to reduce public debt to gross domestic product (GDP) ratio to 82.5% by the end of June 2020 and 77.5% by the end of June 2022.