ZAGREB, Jan 23 (Hina) - Finance Minister Mato Crkvenac and Zagreb Stock Exchange director Marinko Papuga on Thursday signed a contract on the inclusion in the market's Quotation I the third tranche of ten-year government bonds
amounting to 200 million euros.
ZAGREB, Jan 23 (Hina) - Finance Minister Mato Crkvenac and Zagreb
Stock Exchange director Marinko Papuga on Thursday signed a
contract on the inclusion in the market's Quotation I the third
tranche of ten-year government bonds amounting to 200 million
euros. #L#
Of the amount, 110 million will be used to pay debts to the Paris and
London Clubs while the rest will be used to refinance other state
debts, Minister Crkvenac said.
Interest on the bonds is 6.875% and they mature in 2012. The banks
which arranged the latest issue and two previous ones are
Zagrebacka Bank, Privredna Bank Zagreb and Raiffeisenbank Austria,
while the broker house ZB Brokeri is the sponsor. Trade in the
latest issue of government bonds starts today, under the stock
market symbol RHMF-O-125A.
The latest bond issue is part of a package which also includes
EUR150 million worth of bonds issued on May 23, 2002 and another 150
million euros of government bonds, issued on September 20, 2002.
The package, worth 500 million euros, is intended primarily for
support for the reform of the pension system, with pension funds
having bought approximately 250 million euros of the total value of
the issues.
The issuing solves the question of investments into pension funds
and the demonstrated interest shows that this is a good instrument
for the state to settle its debts on the domestic capital market,
Crkvenac said.
Crkvenac announced at least two more government bond issues for
this year (probably in April and September), totalling 750 million
kuna each. He also announced a 500-million-euro bond issue for next
month.
(hina) rml sb