Government plans €1bn bond deal, the first since bailout
The Government is planning to borrow €1bn on the bond market on Thursday.
The deal will be the first time the country has borrowed at an auction since the end of the EU/IMF bailout in December.
In September the National Treasury Management Agency (NTMA), which manages the national debt, decided to hold off on new bond auctions order to keep a lid in the country’s interest bill. A so called “syndicated” bond deal was done in January.
This week’s deal will be a 10 year bond, meaning investor will be paid interest of 3.4pc between now and 2024, when they get their original capital investment back.
It is expected to be the first of a regular flow of deals in 2014.