The Market Treasury Bills (MTBs) Rules 1998 provide for the buyback of MTBs by the Government of Pakistan. In this regard, SBP is pleased to prescribe the following procedure for execution of such buyback transactions:

i. SBP will conduct auctions for the buyback of MTBs on behalf of the Government of Pakistan.

ii. SBP will announce the details such as security, target amount, auction schedule etc., and auction result for the buyback of MTBs on Refinitiv, Bloomberg, SBPK pages and on SBP website.

iii. The buyback price of the security will be determined through multiple-price competitive auction process.

iv. All Primary Dealers will be eligible to submit competitive bids in the auctions. Non-competitive bids can also be submitted as per existing instructions.

v. Eligible participants will submit the following details in the auction bidding on Bloomberg Auction Module (AUPD) within the stipulated time:

           • Bid price (per Rs.100 of face value) for the buyback up to four decimal places
           • Amount (face value) of the securities

vi. On settlement date, the bought back securities will be debited from the SGLA of successful bidders while their current accounts will be credited with the accepted price.

Apart from the above, all other auction rules and procedures shall apply to the buyback auctions as defined in various auction related circulars.