October 20 (SeeNews) - Romania sold on Thursday 500 million lei ($122 million/111 million euro) of Treasury bonds maturing on March 22, 2021, central bank data showed.
The average accepted yield on the bonds rose to 2.14% from 2.12% at the previous auction of bonds of the same maturity held in September, the data indicated.
Demand for the government bonds, which carry an annual coupon of 3.25%, fell to 1.05 billion lei from 1.44 billion lei last month.
The issue will be reopened on Friday when the finance ministry hopes to raise an additional 75 million lei in a non-competitive tender.
Details about the issue follow:
Auction date |
October 20 |
September 8 |
Amount offered (mln lei) |
500.0 |
500.0 |
Amount sold (mln lei) |
500.0 |
500.0 |
Total bids placed (mln lei) |
1,053.7 |
1,445.7 |
Bid-to-cover ratio |
2.10 |
2.89 |
Yield (%) |
2.14 |
2.12 |
Romania's finance ministry plans to sell 3.5 billion lei in government securities in October, according to the debt issuance calendar for the month published on Thursday. Also, the ministry plans to sell an additional 405 million lei in non-competitive offers.
In September, the ministry sold 3.98 billion lei in government debt at auctions and an additional 450 million lei in non-competitive tenders, below target.
So far this year, the finance ministry has sold roughly 39.5 billion lei in local currency-denominated securities and 775 million euro in euro-denominated domestic debt and raised 3.25 billion euro on global markets.
Romania's debt issuance plan for 2016 envisages domestic debt sales of some 48-50 billion lei, including 14-15 billion lei in T-bills and 34-35 billion lei in T-bonds.
The finance ministry also raised the ceiling of its medium-term notes programme, launched in 2011, to 20 billion euro from 18 billion euro. Thus, Romania is to issue some 6.2 billion euro in Eurobonds in 2016 and 2017.
(1 euro=4.5046 lei)