site.btaGovernment Sells Securities for Lv 500 Mln at a Weighted Average Annual Yield of 1.33%

The Ministry of Finance reopened an issue of 7.5-year government securities denominated in leva, maturing on May 24, 2029. At an auction held on Monday at the Bulgarian National Bank (BNB), and resultet in the succesful placement of government securities with an aggregate nominal value of 500 million leva  at a weighted average annual yield of 1.33 per cent, the BNB and the Ministry of Finance said.

The subscribed amount totalled 599.1 million leva, which corresponds to a bid-to-cover ratio of 1.20. The recorded spread to the analogous German Bunds is 114 basis points. Banks acquired the biggest amount of government securities at the auction – 84.1  per cent, followed by insurance companies – 8.4 per cent, pension funds – 3.8  per cent, guarantee funds – 1.4 per cent, investment intermediaries – 0.3 per cent, and other investors – 2.0per cent.