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|19 July, 2018

Average yields fall on Egypt's six-month and one-year T-bills

The yield on the 182-day bill fell to 19.331% from 19.605%

People and vehicles are seen in a traffic jam in front of the old Central Bank of Egypt's headquarters in downtown Cairo, Egypt July 25, 2017.

People and vehicles are seen in a traffic jam in front of the old Central Bank of Egypt's headquarters in downtown Cairo, Egypt July 25, 2017.

REUTERS/Amr Abdallah Dalsh

CAIRO  - Average yields on Egypt's six-month and one-year treasury bills fell once more at an auction on Thursday, data from the central bank showed.

The yield on the 182-day bill fell to 19.331 percent from 19.605 percent, while the yield on the 364-day bill fell to 19.134 percent from 19.379 percent.

Egypt's short and long-term debt yields have been climbing since April, with 12-month bills last week hitting their highest levels since July 2017, when they peaked at 21.72 percent.

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But the yields began to cool after last week's auction.

Economists and bankers said the higher yields are part of a broad global selloff in emerging markets that has hit Egypt, one of the world's hottest destinations for portfolio investors last year after short-term yields touched 22 percent, the result of aggressive central bank rate hikes aimed at curbing inflation. 

(Reporting by Nadine Awadalla Editing by Robin Pomeroy) ((Nadine.Awadalla@thomsonreuters.com;))