On July 19, 2019, the Republican Currency Exchange of the Republic of Uzbekistan held next electronic auction on placement of 160-day state securities.
At the auction, the government securities of the total nominal value of 300 billion UZS were placed on the primary financial markets, and 435 billion UZS were received for purchase.
According to the results of the auction, average weighted yield on short-term government securities made up 14.89% APR.
It should be noted that the volume of orders issued by dealers at the auction exceeded the total value of short-term government securities (UZS 300 billion), indicating a high level of demand for these financial instruments.
At the same time, the yield of short-term government securities increased by 14.89% per annum, mainly due to the emission of 700.0 billion UZS government securities in the current month, as well as a significant reduction in liquidity in the banking system as a result of tightening monetary policy.
In the future, the decisions of the Ministry of Finance on issuance of government securities will be made based on the diversification of public debt and its effective management together with the development of local financial markets.