Treasury borrows approximately 95.7 billion liras in two auctions

The Ministry of Treasury and Finance conducted significant borrowing through treasury bill and government bond auctions held as part of its financing program. First, in the re-issuance of a 182-day zero-coupon treasury bill, the simple interest rate was set at 37.6 percent, and the compound interest rate at 41.13 percent.

In this first auction, nominal bids totaling 133 billion 982.4 million liras were received. The sale resulted in 49 billion 116.5 million liras in nominal terms and 41 billion 344 million liras in net terms. While the entire 6 billion lira bid from public institutions was met, 27 billion liras were sold against the 66 billion 204.7 million lira demand from primary dealer banks.

In the second auction, a 1708-day government bond with a 16.63 percent fixed coupon payment every 6 months was re-issued. In this auction, the simple interest rate was calculated at 36.05 percent, and the compound interest rate at 39.29 percent. Nominal bids of 13 billion 718 million liras were received for the auction; 6 billion 835 million liras in nominal sales and 7 billion 95.3 million liras in net sales were reached. While the entire 6 billion 300 million lira bid from the public sector was met, 8 billion liras of the 15 billion 887 million lira bid received from primary dealer banks were accepted in the sale.

With these two auctions, the Treasury borrowed a total of 95 billion 739.3 million liras.

News Source: 12punto