site.btaFinance Ministry Sells BGN 300 Mln in Government Securities

The Ministry of Finance placed BGN 300 million worth of government securities at an auction, the Bulgarian National Bank said on its website Monday.

The securities are seven-year fixed-rate Treasury bonds (ISIN BG 20 400 25 210), first issued on January 29, 2025, with an annual interest rate of 3.25%.

Total bids admitted to the auction amounted to BGN 495.43 million, including BGN 42.7 million in non-competitive bids. The coverage ratio stood at 1.65. The Finance Ministry approved bids worth BGN 300 million, of which BGN 42.7 million were non-competitive.

The spread compared to equivalent German federal bonds was 124 basis points, the Ministry of Finance said.

The average annual yield at the auction came in at 3.51%. Eight primary dealers participated, and the ministry plans to offer additional tranches of the issue, BNB added.

This was the eighth auction for new domestic debt since the beginning of 2025, bringing the total raised to BGN 1.8 billion, according to the Finance Ministry’s website.

So far, bonds from two issues have been offered – seven-year and three-year government securities.

Following Monday’s auction, the outstanding volume of the seven-year bond issue now stands at BGN 800 million, while the volume of the three-year issue (ISIN BG2030025113) totals BGN 1 billion.

Under the 2025 State Budget Act, the government is authorized to take on up to BGN 18.9 billion in new debt this year.