site.btaFinance Ministry Successfully Places10-Year Leva-Denominated Securities

Finance Ministry Successfully Places 10-Year Leva-Denominated Securities

Sofia, April 21 (BTA) - The Finance Ministry said on Tuesday it
has launched a 10-year issue of leva-denominated government
securities maturing on April 22, 2025.

At an auction held on Monday, the Ministry placed 50 million
leva worth of securities with an average weighted yield of 2.04
per cent.

Subscription totalled 122.1 million leva, putting the
bid-to-cover ratio at 2.44. The spread to the benchmark German
Bunds in this segment is 197 basis points. The issue is a
benchmark one in respect of the harmonized long-term interest
rate used for convergence assessment as part of the Maastricht
criteria.

The participants in the auction showed strong interest in the
securities offered. Banks acquired the largest part (74.40 per
cent) of the issue, followed by pension funds (18.60 per cent)
and guarantee and contractual funds (7.00 per cent).