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The Ministry of Public Finance (MFP) borrowed 605 million lei from banks on Monday, through a benchmark government bond issue with a residual maturity of 45 months, at an average yield of 3.85pct per year, according to the data transmitted by the National Bank of Romania (BNR).
The nominal value of Monday's issue was 500 million lei, and the banks subscribed over 1.1 billion lei.
An additional tender is scheduled for Tuesday, whereby the state wants to attract another 75 million lei at the yield set on Monday.
The MFP has planned, in January 2020, loans from commercial banks of 4.4 billion lei, of which 300 million lei through the issuance of discounted treasury certificates and 4.1 billion lei through seven issues of state bonds, to which the amount of 615 million lei can be added through additional sessions of non-competitive offers, related to bond auctions.
The amount is lower by 930 million lei compared to the one scheduled for December and will be destined to refinance public debt and to finance the state budget deficit.
