Tuesday, April 21, 2009

Romania sells 1.9 bln lei in 30-day T-bills

BUCHAREST, April 21 (Reuters) - Romania sold 1.9 billion lei ($577 million) in 30-day treasury bills on Tuesday, with the average accepted yield at 11.48 percent, against 14.24 at a similar tender at the start of 2009, central bank data showed. 

On Jan. 19 and Feb.16, the finance ministry sold similar paper at 12.75 and 11.45 percent percent respectively.
On Tuesday, the ministry had planned to sell 1.5 billion lei worth of debt.

The ministry has cranked up issuance this year, selling just under 27 billion lei so far, double from last year's 12.5 billion lei, as the government struggled to meet vast spending needs and settle massive 2008 invoices.

Since the start of the year, yields have fallen from as much as 14 percent and the curve has flattened at around 11.5 percent across maturities, as analysts said the central bank has indirectly financed the budget deficit by injecting liquidity.
Almost all of this year's offerings are 3- and 6-month bills.

No comments: