26.01.2015

The Ministry of Finance launched a new 3-year BGN-denominated government securities (GS) issue with maturity 28 January 2018. At the auction held on 26 January GS to the amount of BGN 50 million were successfully placed, with the average weighted yield being 0.69%. The subscription totalled BGN 219.80 million, the bid-to-cover ratio being 4.40. The spread to the benchmark German Bunds in this segment is 83 b.p.

The participants showed strong interest both in the amount offered for competition orders sale and in the portion of non-competition orders sale determined for allocation among investors. Banks acquired the biggest amount of GS at the auction, i.e. 50,00%, followed by pension funds with 32.67% and contractual funds with 17.33%.