NTMA sells €1bn worth of bonds
The National Treasury Management Agency sold €1 billion of bonds yesterday, bringing the amount of debt raised in capital markets so far this year to €11.1 billion.
That means the State’s debt-management agency has reached the mid-point of the full-year targeted range of €9-€13 billion it had set earlier this year. The total includes benchmark bond sales as well as €609.5 million raised in April through the NTMA’s sale of its first-ever inflation-linked bond to a group of Irish insurance and pension funds.
The fundraising comes as the NTMA, which had €20 billion of cash and liquid assets at the end of August, was last week given the task of gathering €5.5 billion to repay the State’s remaining 2010 bailout loans from the International Monetary Fund as well as bilateral borrowings from Denmark and Sweden.
The early refinancing plan outlined last week is subject to all EU states agreeing to waive the right to two EU bailout facilities, which gave Ireland €40.2 billion during the crisis, to seek early repayment at the same time.
While Minister for Finance Paschal Donohoe has committed to next year delivering Ireland’s first balanced budget since the crash, data issued by the Central Bank on Wednesday showed the NTMA has to refinance €39.9 billion of government bonds that are due to mature within the next three years.