ÁKK sells HUF 20 bln of debut 10-year green bond
The Government Debt Management Agency (ÁKK) sold HUF 20 billion of a 10-year green bond it offered for the first time at an auction on Thursday, in line with the original offer, according to a report by state news wire MTI.
Primary dealers bid for HUF 42.9 bln of the securities.
The average yield was 4.74%, 14 bp under the yield for the conventional 10-year benchmark on the secondary market.
ÁKK announced the launch of the green bond in December, when it published its 2022 financing plan. The 10-year securities will be offered monthly. ÁKK will continue to offer its 30-year green bonds on a quarterly basis.
ÁKK also sold HUF 22.5 bln of a seven-year floating-rate bond and HUF 37.5 bln of a 12-month discount T-bill at auction on Thursday, raising both of its respective offers by HUF 7.5 bln on strong demand.
Bids for the floaters came to HUF 91.1 bln and reached HUF 65.6 bln for the T-bill.
The average yield for the T-bill was 4.13%, 6 bp over the secondary market benchmark and 2 bp higher than the yield at the previous auction of the bills two weeks earlier.
ÁKK sold a further HUF 7.9 bln of the floaters and HUF 0.8 bln of the green bonds at a non-competitive tender after the auction.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.