ÁKK switch auction bond sales fall short
The Government Debt Management Agency (ÁKK) sold HUF 29.5 billion of bonds maturing in 2023 and 2026 at a switch auction on Wednesday, accepting bonds expiring in 2021 and 2022 as payment, state news wire MTI reported.
The ÁKK sold HUF 9.5 bln of 2023/B floating-rate bonds for 2021/A floating-rate bonds, under the HUF 20 bln plan. Demand from primary dealers came to HUF 16.2 bln for the exchange.
The ÁKK also sold HUF 20.0 bln of fixed-rate 2026/D bonds for 2022/A bonds, in line with the plan. Bids reached HUF 60.1 bln.
The average yield on the 2026/D bonds was 1.40%, 45 basis points over the yield on the five-year secondary market benchmark which matures in 2024.
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.