28.04.2014

The Ministry of Finance reopened for the 1st time the 7-year issue of EUR denominated Government Securities (GS) with maturity 12 February 2021. At the auction held on 28 April 2014 the annual average weighted yield achieved was 2.52% for whole amount of EUR 25 million of GS offered. This is the lowest value in this maturity segment since May 2013. The participants showed strong interest and the total amount subscribed reached EUR 63.83 million, the coverage coefficient being 2.55. The biggest amount of GS acquired pension funds - 51.43%, followed by banks - 37.60%, guarantee funds - 10.88% and other institutional investors - 0.09%.

The spread to the benchmark German Bunds in this segment is 162 b.p. The yield achieved is below that on bonds denominated in euro of a number of EU Member States and countries from the region: Slovenia (2.96%), Romania (2.99%), Hungary (3.27%), Turkey (3.73%) and Croatia (4.33%).