Portugal only has to find 17 percent of its funding needs for 2014 after demand for the five-year bonds it issued Thursday was three times more than supply. The bonds had an average interest rate of 4.657 percent.
According to the Portuguese press, the Portuguese Treasury issued five-year bonds that attracted demand totalling 11.2 billion euros. The Finance Ministry, after seeing the proposals, decided to issue debt in the total of 3.25 billion euros at an interest rate of 4.657 percent.
The Finance Minister, Maria Luís Albuquerque, said that the operation was “very successful,” and most debt market analysts agreed.
According to figures presented by the Agency for Treasury and Public Debt Management at a meeting with investors in December, this year the Portuguese state needs funding of 22.8 billion euros.
After the debt issued Thursday, just 3.85 billion euros are needed, or 17 percent of the total, for all of the funding for 2014 to be secured. (macauhub)