TIRANA, Oct 30 /ATA/ – The yield on the 12-month treasury bills (T-bills) decreased in the latest auction this week, the Bank of Albania said on Wednesday.
Data from central bank show that the average yield on the 12-month T-bills slightly fell to 3% from 3.02 in the previous auction almost two weeks ago and down from 3.75% compared to the same period of the previous year.
The Ministry of Finance and Economy sold a total of 11.1 billion lek worth of one-year Treasury bills, up from an initial bid of 8 billion lek at an auction on Tuesday.
The decline in the yield on the T-bills and other government securities reflect the improved liquidity in the financial market, the fall of the inflationary pressure on the country’s economy, as well as the low key interest rate on the national currency Lek.
The fall in yield on the government securities also determines the borrowing costs of the private sector. Lower cost of Lek-denominated loans is likely to keep the credit performance for the economy at high levels.
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