20-year bonds are issued for the first time!
The Ministry of Finance held the first auction of 20-year bonds on Tuesday and according to reports, there is a very high interest from investors.
According to published figures, out of the 1.5 billion lek that was the announced amount of the issue, total requests worth 4.26 billion lek were submitted at the auction.
Due to high demand and favorable pricing, the Ministry of Finance informs that it decided to increase the issue amount by 15%, bringing the total value to 1.72 billion lek.
The received uniform yield and bond coupon resulted in a level of 6.78%, below the reference coupon of 7% presented before the auction by the Ministry of Finance. In March, it has also foreseen a reopening of the auction of 20-year bonds, in the amount of 1 billion lek.
According to the authorities, the extension of the maximum debt maturity is a signal of strengthening the borrower's credibility.
The debt level in relation to GDP will continue its downward trajectory in accordance with the respective fiscal rule set out in the Organic Budget Law, where specifically during 2024 the debt level is estimated to decrease by around 2.3 percentage points (from 57.5% to 55.2%). During 2025 it is expected to decrease by 0.4 percentage points (to 54.8%) and during 2026 it is expected to decrease by 0.8 percentage points.
This is the lowest level since 2008. The reduction in debt led the main credit rating agencies, S&P Global Ratings and Moody's, to upgrade the country's sovereign debt rating this year.
Poll
After Trump's decision on US citizenship: Which European countries practice the right to citizenship by birth?
President Donald Trump recently said that the U.S. is the only country in the world that offers citizenship to a child born on its soil, regardless of the......
Vucic: The Prime Minister's resignation could lead to early elections!
Serbian President Aleksandar Vučić says the resignation of Prime Minister Miloš Vučević on Tuesday could lead to early parliamentary elections or a new......
Exchange rate/ The US Dollar weakens while the Franc gains points!
The US dollar has registered a decline this morning as it was bought today for 94.3 lek and sold for 95.5 lek according to the local exchange rate compared......
US, record profits from arms sales - Exports to allies increased by 29% in 2024
US arms sales to allied countries reached a record $318.7 billion in 2024. The increase in demand is related to the need to replenish stocks sent to Ukraine......
Changes to the personal status declaration and new payroll!
The changes in the new Income Tax law have also brought changes to the payroll declaration. The payroll declaration has changed since January of this year in......
Financial Development and Sustainability Program - Governor Sejko meets with the World Bank team!
Governor Gent Sejko hosted a meeting today with a World Bank (WB) team, within the Financial Development and Sustainability Program, led by Rekha Reddy, in......
"Young people should be careful with the development of technology" - Activity on the occasion of International Data Protection Day
The Office of the Commissioner for the Right to Information and Personal Data Protection organized an awareness-raising activity on the importance of......
Increasing cybersecurity in energy - ERE changes rules, obligations for ISO standard include gas and some private operators
The changes that the energy sector and relevant legislation have undergone have forced the Energy Regulatory Authority to undertake changes to the regulation......
