Government bonds worth 200 million euros sold

Serbia has sold bonds worth 200 million euros, with investor interest exceeding the offer at the auction held on December 17. This is a reopened issue of twelve-year government bonds, denominated in euros, which investors recognized as attractive when they were first offered in July.

These long-term bonds in euros were the only ones denominated in that currency that the state issued this year and the total issue was initially planned to amount to 250 million euros, with the planned sales volume for July being 150 million euros, and another 100 million for December, writes Bloomberg Adria. But since all 250 million were snapped up at the July auction, an expansion of the issue by an additional 200 million was subsequently announced, which means that the total issue volume of 450 million euros has been changed. However, it was announced at that time that the planned sales volume for the new December auction was EUR 100 million, but the entire, reopened issue was sold again.

– The total demand volume at the auction amounted to EUR 254,839,000. 200,000 government bonds were sold, with a nominal value of EUR 200,000,000 – the Public Debt Administration announced. In other words, investor demand amounted to 1.27 times the value of the debt securities sold.

The government bonds were sold at a yield of 4.97% per annum, and they mature on July 29, 2037. In a separate statement, the administration announced that the highest offered rate was 4.98, and the lowest 3.8%. The coupon payment in the amount of five percent will be made annually, every July 29 until the maturity date.

There were 13 participants in the auction held on December 17, and the total number of submitted bids was 45, while 44 were accepted. Of these, three bids were accepted from the banking sector, 19 from other legal entities, 12 from individuals and 10 from custody clients.

Uprava za javni dug

Public Debt Administration

sale of government bonds