Romania to issue at least EUR 1bn in Eurobonds by end-2013

By bne IntelliNews September 6, 2013

Romania plans to issue two Eurobonds with a total value of at least EUR 1bn by end-2013 after it already drained USD 1.5bn earlier in the year in similar issues, budget minister Liviu Voinea told Bloomberg.

Overall, the country plans to borrow from abroad the equivalent of EUR 2.5bn [1.8% of GDP] this year to finance its 2.3%-of-GDP budget deficit*.

There is no pressure and the government will wait for a window of opportunity, Voinea commented.

The new issues will predictably be launched after the IMF’s Board endorses the new stand-by arrangement with the country. The Board will discuss the SBA with Romania for 10 days in September, Voinea said.

The EU would later endorse the BoP support programme for Romania on October 5, he added. The yield on Romania’s 2019 Eurobonds rose to 4.16% earlier this week from a record low of 3.4% in May, Bloomberg reported.

Romania expects a total of EUR 4bn from the IMF and the EU, equally split. Nonetheless, the credit lines attached to the programmes would be treated as precautionary, as it happened in the past two-year programme.

* cash-based

Related Articles

Hungarian branch of Bucharest listed Digi to buy Invitel Tavkozlesi in €140mn deal

Bucharest listed Digi Communications announced on July 21 that its Hungarian subsidiary, Digi Tavkozlesi es Szolgaltato, has signed an agreement to acquire Hungarian broadband and telephone provider ... more

Romanian media tycoon Voiculescu to be released on parole

A Romanian court ruled on July 18 that media tycoon and former politician Dan Voiculescu, who was sentenced to 10 years in prison in August 2014, should be released on parole after serving ... more

Evolution Equity Partners closes $125mn cybersecurity-focused fund

Evolution Equity Partners announced on 17 July the final closing of a new fund with total capital commitments of $125mn to make investments in cybersecurity and next generation enterprise software ... more

Dismiss