Bulgaria Cancels BGN 400M Debt Issue

Bulgaria’s Finance Ministry has cancelled a BGN 400M debt issue because the government budget is expected to show a surplus for the month of January for the first time since 2009.

The ministry said in a statement on Tuesday that an auction of three-month government securities scheduled for 9 February 2015 had been cancelled.

On Monday, the Finance Ministry said it expected a budget surplus of BGN 85 for the month of January equivalent to 0.1% of the Gross Domestic Product planned for the year.

Also on Monday, the ministry placed BGN 50M in five-year government bonds at an average weighted yield of 1% as the issue was 3.2 times oversubscribed. The spread to benchmark German Bunds in this segment is 105 basis points.

We need your support so Novinite.com can keep delivering news and information about Bulgaria! Thank you!