Turkish Treasury borrows nearly $1B through auctions

By Aysu Bicer

ANKARA (AA) - The Turkish Treasury borrowed around 8 billion Turkish liras (roughly $924 million) from domestic markets, according to an official statement Tuesday.

The Treasury and Finance Ministry announced that 3 billion Turkish liras ($346 million) in two-year fixed coupon rate government bonds were sold Monday.

The total tender amounted to 4.7 billion Turkish liras ($543 million), with a 62.3% accepted/tendered rate.

The Treasury said the term rate of the 721-day government bonds was accepted at 8.93%, while the annual simple and compound interest rates were 17.87% and 18.66%, respectively.

The Treasury bills will be settled Wednesday and mature on June 14, 2023.

In a second auction, the Treasury issued TLREF-indexed government bonds – reopen, quarterly – totaling 5 billion Turkish liras ($577 million).

According to the ministry, the total tender in the second auction amounted to 8.1 billion Turkish liras ($936 million), with a 61.8% accepted/tendered rate.

The term rate of the 1,883-day government bonds was accepted at 5% of the periodic interest rate, while the annual simple and compound interest rates were 20.06% and 21.62%, respectively.

The bills will be settled Wednesday and mature on Aug. 19, 2026.