Economics: NTMA raises â‚¬1.25bn in dual bond auction
Irelandâ€™s National Treasury Management Agency raised â‚¬1.25bn in a dual bond auction yesterday.
The agency said it sold â‚¬800m of nine-year bonds at a yield of 0.536% and â‚¬450m of 28-year debt at a yield of 1.704% in its final bond auction of the year, with both issues well covered.
The NTMA had originally planned to issue â‚¬9-13bn in long-term debt this year. But it has now raised â‚¬15.75bn via benchmark sales and a further â‚¬610m in its first-ever sale of inflation-linked bonds to facilitate the early repayment of some of its 2010 bailout loans.
The Department of Finance said in September that it would seek early repayment of â‚¬5.5bn of bailout loans consisting of its outstanding debt to the International Monetary Fund, Denmark and Sweden. It said it hoped to save around â‚¬150m in the process.
Darren McKinley, CFA
Senior Equity Analyst