HE public treasury placed this thursday 6,442.17 million euros in a medium and long-term debt auction, in the expected high range and convey this to investors. higher interestcoming to bid for ‘Green bonds’ almost 4.5%, According to data published by the Bank of Spain.
Investors continue to show interest in Spanish debt securities, but the total demand for the three benchmarks auctioned (11,638.28 million euros) did not reach twice what was ultimately awarded in the markets.
Treasury went out to tender in the second issue of October. New reference for 5-year government bondsWith 3.5% coupon; Government Debt Securities with a 2.35% coupon with a remaining life of 9 years and 10 months, and Government Debt Securities with a coupon of 1% with a remaining life of 18 years and 10 months (‘Green Bonds’).
The Treasury is restarting this ‘green bond’ auction, which was launched in September 2021, for the fifth time. This time, it reopened for the second time in 2023. 1,604.18 million collectedWith a marginal interest of 4.486% compared to the demand of 2,494.19 million, it is higher than the previous auction held in April 2023 (3.812%).
According to the information provided by the Ministry of Economic Affairs and Digital Transformation, it was stated that with this 1,600 million added to the 1,441 in the auction in April, the joint issuance in 2023 increased to around 3,000 million and the volume of bonds in circulation increased to 2,000,000. 11.2 billion euros.
For its part, based on the reference 5-year government bond with a coupon of 3.5%, the Treasury deposited 3,549.57 million euros against the requested 6,144.64 million euros with a marginal interest of 3,650%.
Finally State obligationsThe Treasury, which has a remaining life of 9 years and 10 months, awarded 1,288.44 with a 2.35 percent coupon, offering a profitability of 3.985 percent over the demand of 2,999.46 million.
Raised short-term interest rate above 3.8% on Tuesday
Last Tuesday, Treasury opened its October issue Placement of 4.572 million euros For short-term debts, 6-month and 12-month bills, the return is higher and above 3.8%.
The improvement in interest rates offered in parallel with the ECB’s recent increases in interest rates has preserved the markets’ investment appetite for Spanish securities; as the total demand for both references almost doubled with 9,158 requests. million euros.
This first October issuance will be followed by three- and nine-month bonds on the 17th, and other issues of bonds and government bonds on the 19th.
Treasury’s 2023 targets
Gross exports of the Undersecretariat of Treasury This year it will be 256 billion 930 million eurosThis represents an increase of 8.2% compared to the forecast for 2022 due to the increase in interest rates.
The net debt of the Public Treasury in 2023 will remain at 70 million. When looked at by instrument type, Treasury Bills are expected to provide negative net financing of 5,000 million, and therefore government bonds and liabilities, together with other euro and foreign currency denominated liabilities, will contribute to the remaining 75,000 million. .
Source: Informacion
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