Public Finance Ministry borrows 578.296 million lei from banks, through discounted T-bill issue
The Public Finance Ministry (MFP) on Monday borrowed 578.296 million lei (approximately 126.691 million euros) from commercial banks, through a discounted T-bill issue, placed on tender through the National Bank of Romania (BNR).
The securities have a twelve-month maturity and the weighted-average yield the issue was adjudicated at stood at 6.02 percent. The weighted-average discount rate was 5.70 percent.
The total value of the issue accounted for one billion lei and the total demand of the 12 banks participating in the tender amounted to over 1.556 billion lei.
The Public Finance Ministry rejected the buying offers submitted exceeding a yield level of 6.10 percent.
Twelve banks submitted bids to acquire government securities: Alpha Bank Romania, BRD-Groupe Societe Generale, Carpatica Commercial Bank, the Romanian Commercial Bank, Transilvania Bank, Bancpost, CEC Bank, Citibank Romania, ING Bank, Raiffeisen Bank, RBS Romania and UniCredit Tiriac Bank.
The Public Finance Ministry wants to borrow 4.1 billion lei from banks in October, through seven T-bill and bond issues.