25.09.2017

The Ministry of Finance has launched a new issue of 7.5-year BGN-denominated government securities (GS) maturing on 27 March 2025. GS of BGN 85 million were offered successfully at the auction held on 25 September at a weighted average yield of 0.69 per cent. The subscribed amount reached BGN 286.40 million, which corresponds to a bid-to-cover ratio of 3.37. The spread to the 10-year German Bunds in this segment is 63 basis points.

The bidders showed great interest both in the quantity offered for competitive sale and in the non-competition part allocated among the investors. The biggest amount of GS was acquired by banks – 50.00%, followed by pension and guarantee funds – 37.34%, and insurance companies – 12.66%.