As reported by the State Treasury, on Tuesday, the 10th of January, ten-year euro bonds with a yield of 3,693% and a fixed coupon rate of 3.5% were released on financial markets on behalf of Latvia in an effort to attract funding worth EUR 750 million.
Total demand for Latvia’s euro bonds was the highest since the year 2015, reaching EUR 3.7 billion, according to the State Treasury, adding that offers were received from more than 140 investors. Bonds were acquired by investors from different European countries, including UK, Germany, Austria, Nordic countries, France and Benelux.
Bonds were released by Citigroup Global Markets Europe, Deutsche Bank, Erste Group Bank and Nomura Financial Products Europe Gmbh.
The last time Latvia borrowed money from international financial markets was the 20th of October 2022,
when the State Chancellery released bonds worth EUR 850 million on international markets with a yield of 4.198% and a fixed coupon rate of 3.875%. Bond maturity term is the 25th of March 2027. The total demand for Latvian euro bonds exceeded EUR 2.1 billion in October 2022. More than 80 investor offers were received.
Also read: Inflation causes tax revenue grow more rapidly than budget expenditures in Latvia