BULGARIA TAKES ON A NEW DEBT OF BGN 500 MILLION

The Ministry of Finance issued a new emission of 7.5-year government securities at a weighted average annual yield of 0.49%

The Ministry of Finance has issued a new issue of 7.5-year government securities, denominated in BGN, maturing on 24 May 2029, the Finance Ministry announced.

At the auction held on November 22, which is the 11th for this year, government securities for a total nominal value of BGN 500 million at a weighted average annual yield of 0.49% were successfully placed.

The total amount of submitted orders reached BGN 808.75 million, which corresponds to a coverage ratio of 1.62.

The reported spread relative to similar German federal bonds amounts to 97 basis points.

The BNB informs that orders with a total nominal value of BGN 808.745 million were admitted to participate in the auction, incl. non-competitive orders with a total nominal value of BGN 46.1 million. The achieved coverage ratio is 162. The average price of the orders admitted to participation in the auction is BGN 97.80 per BGN 100 face value.

Nine primary government securities dealers participated in the auction.

There was a high interest from the participants, as the largest amount of government securities at the auction was acquired by banks - 64.6%, followed by pension funds with 23.7%, insurance companies - 7.3%, mutual and guarantee funds - 4 , 3%, and investment intermediaries - 0.1%.

The Ministry of Finance will offer for sale additional quantities of the issue at auction.