Turkish Treasury borrows $1.75B through auctions


The Turkish Treasury borrowed some 10.7 billion Turkish liras ($1.75 billion) from domestic markets, according to an official statement on May 13.

The Treasury and Finance Ministry said the first auction was held for 12-month zero coupon bonds (new issuance) which amounted to 7.15 billion Turkish liras ($1.17 billion).

The government bonds will be settled on May 15 and mature on May 13, 2020, while the interest rate of the 364-day bonds was accepted at a 26.12% term rate.

The total tender for the bonds was 10.1 billion Turkish liras ($1.66 billion) with a 70.8% accepted/tendered rate.

In the second auction on May 13, the Treasury borrowed 3.54 billion Turkish liras ($581 million) by issuing five-year CPI-indexed government bonds (semiannually, reopen, fourth issuance) to be settled on May 15 and mature on Jan. 10, 2024.

The total tender for the bonds was 4.63 billion Turkish liras ($760 million), with a 76.6% accepted/tendered rate.

The ministry said the term rate of 1,701-day bonds was accepted at 2.10%, while the annual simple and compound interest rates were 4.21% and 4.25%, respectively.

Hurriyet Daily News


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