Feb 15, Colombo: The issue of Sri Lanka Development Bonds (SLDBs) for US$ 60 million has been oversubscribed by 2.5 times with total bid received amounting to US$ 152.12 million the Central Bank said on Friday.

The Central Bank on behalf of the government has offered to issue of US$ 60 million in 3-year tenor to eligible investors for subscription at a rate of US$ 6 month LIBOR plus a margin to be determined through competitive bidding.

Both foreign and local commercial banks have subscribed bids at the auction that was opened from February 8 - 15 for bidding. The bonds have a settlement date on February 22.

Due to the high demand from the investors, the government has decided to accept US$ 152.12 million in 3 year maturity at the market determined rates of US Dollar 6 month LIBOR + 400 bps (weighted average margin, the Bank said in a statement.

According to the Central Bank, six-month LIBOR on Friday was at 0.4649 percent.