MFP to borrow RON 4.435 bn to refinance public debt and state budget deficit

Newsroom 01/08/2016 | 15:31

The Ministry of Public Finance (MFP) has announced plans to borrow from commercial banks RON 4.435 billion in August 2016 to be used to refinance Romania’s public debt and the state budget deficit.

According to the ministry, 4 billion will be borrowed via eight auctions of treasury bills and government bonds and the remaining 435 million via supplementary sessions of uncompetitive offers connected to the bond tenders. The amounts will be used to refinance the public debt as well as finance the state budget deficit.

The MFP will hold two tenders for treasury bills with a discount valued at RON 1.1 billion, the first in August 8, for RON 300 million and the second on August 25, for RON 800 million. The ministry will also hold six auctions of benchmark bonds valued at RON 2.9 billion, to be followed, the next day, by a supplementary session of non-competitive offers, with a value of 15 percent of the initial values of the bonds issue.

In 2016 the budget deficit is forecasted at 2.8 percent of the GDP (around RON 21 billion) and will be financed by the internal market as well as the external one in equal shares. In addition, the deficit will also be finance by the level of refinancing of state bonds that reach maturity in 2016 in lei and euros amounting to RON 38 billion.

Georgeta Gheorghe

BR Magazine | Latest Issue

Download PDF or read online: November 2022 Issue | Business Review Magazine

The November 2022 issue of Business Review Magazine is now available in digital format, featuring the main cover story titled “Samsung Remains Top Consumer Tech Provider on Romanian Market.” Read
Newsroom | 29/11/2022 | 10:17

    You will receive a download link for the latest issue of Business Review Magazine in PDF format, based on the completion of the form below.

    I agree with the Privacy policy of
    I agree with the storage and handling of my data by
    Advertisement Advertisement
    Close ×

    We use cookies for keeping our website reliable and secure, personalising content and ads, providing social media features and to analyse how our website is used.

    Accept & continue