Cairo – Mubasher: The Central Bank of Egypt (CBE) will offer treasury bonds (T-bonds) worth EGP 7 billion on Monday on behalf of the Ministry of Finance.

The first tranche amounts to EGP 3.75 billion and will be offered through five-year notes, while the second tranche will be offered through 10-year notes valued at EGP 3.25 billion, according to data published on the CBE’s official website.

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

The Egyptian government aims to diversify its financing sources and expand into long-term debt instruments instead of short-term borrowing with the reduction in local interest rates.

At the end of June 2019, Egypt managed to cut public debt to gross domestic product (GDP) ratio to 90.5% from 98% a year earlier.