SARAJEVO (Bosnia and Herzegovina), December 9 (SeeNews) – The Federation of Bosnia and Herzegovina will auction 6-month Treasury bills, 3-year and 5-yr T-bonds with a combined value of 150 million marka ($81.4 million/76.7 million euro) to finance budget deficit, the entity's government said.
The Federation's government adopted the decision during a weekly session on Thursday, to help the entity rebalance its 2016 budget, it said in a statement.
The entity will auction 50 milion marka in 6-month bills, 40 million marka in 3-year bonds and 60 million marka in 5-year bonds.
On December 6, the Federation sold 5 million marka in six-month Treasury bills on the Sarajevo Stock Exchange, well below target, with a yield of 1.15%.
Both of Bosnia's entities, the Federation and the Serb Republic, have been holding back-to-back auctions of Treasury notes in order to make up for the lack of funding from the International Monetary Fund, which has conditioned the release of its next loan tranche on a set of reforms.
Bosnia is set to receive some $63.41 million (about 80 million euro) in the first quarter of 2017, if the IMF is satisfied with the country's reform progress. Bosnia and Herzegovina’s 36-month Extended Fund Facility arrangement was approved on September 7, 2016.
(1 euro=1.95583 marka)