On Monday, the Ministry of Finance borrowed 580 million lei off banks through a benchmark government bond issue of a residual maturity of 63 months, at an average yield of 2.59% per annum, according to data published by the National Bank of Romania (BNR).
The nominal value of Monday’s issue was 500 million lei, and the banks bid 951.3 million lei.
An additional auction is scheduled for Tuesday, when the government wants to raise another 75 million lei at the yield set on Monday for bonds.
The Ministry of Finance has planned for April 2021 loans from commercial banks of 4 billion lei, of which 500 million lei through an issue of discounted treasury certificates and 3.5 billion lei through eight issues of government bonds.
Adding to that would be 525 million lei through additional sessions of non-competitive bids related to bond auctions.
The amount is 675 million lei more than the one planned for March 2021 – 3.85 billion lei in total – and it will be used to refinance public debt and finance government deficit.