Turkish Treasury borrows $209M through auctions

By Gokhan Ergocun

ISTANBUL (AA) – The Turkish Treasury borrowed around 1.8 billion Turkish liras ($209 million) from domestic markets, according to an official statement on Tuesday.

The Treasury and Finance Ministry announced that 768 million Turkish liras ($89 million) in 12-month zero-coupon government bonds (reopen, second issue) were sold.

The total tender amounted to 1.89 billion Turkish liras ($219.8 million), with a 40.5% accepted/tendered rate.

The Treasury said the term rate of the 371-day government bonds was accepted at 19.09%, while the annual simple and compound interest rates were 18.73% and 18.70%, respectively.

The Treasury bills will be settled on Wednesday and mature on June, 15, 2022.

In a second auction, the Treasury issued six-year floating rate government bonds – the seventh issue, semiannually – totaling 1.05 billion Turkish liras ($121 million).

According to the ministry, the total tender in the second auction amounted to 1.85 billion Turkish liras ($215.24 million), with a 57% accepted/tendered rate.

The term rate of the 2,352-day government bonds was accepted at 9.10% of the periodic interest rate, while the annual simple and compound interest rates were 18.20% and 19.03%, respectively.

The bills will be settled on Wednesday and mature on Nov. 17, 2027.

The ministry also issued CPI-indexed leasing certificates totaling 951.25 million Turkish liras ($110.67 million) on Tuesday. Their maturity date is May, 28, 2031.

The Treasury held two more auctions on Monday for borrowing 8.68 billion Turkish liras (some $1 billion) from domestic markets.