Two auctions for sale of government securities worth 400 million euros in February

The Public Debt Administration of the Ministry of Finance of Serbia announced that two auctions for sale of government securities indexed in euros, worth a total of 400 million euros, would be held in February.

At the first auction, scheduled for February 9, 53-week (371-day) discount bonds will be offered for sale and their total nominal value is 200 million euros. The auction scheduled for February 14 will be the occasion for sale of 15-year coupon bonds worth 200 million euros. Payment of these bonds is semiannual, at the rate of 5.85%.

So far, the state has been selling only Dinar bonds. The first auction of securities indexed in euros took place on December 29, 2010, when all offered six-month bonds, worth a total of 21 billion dinars, were sold at the annual yield rate of 5.25%.

The sale of government securities indexed in euros led to a strengthening of the national currency because participants in the financial market were selling foreign currencies to provide dinars for procurement of those securities.