Bulgarian Govt to Issue Securities worth BGN 900 M in January
Bulgaria's government has scheduled four auctions for government securities worth a total of BGN 900 M in January 2014.
The schedule, as cited by Sega daily, is published on the website of the Finance Ministry.
A large part of the money is to be used for the advance payment of direct payments to grain producers.
In early February 2013, the center-right GERB government took an extraordinary loan of BGN 800 M to pay farmers' subsidies. The measure was sharply criticized by opposition parties the Bulgarian Socialist Party (BSP) and liberal party Movement for Rights and Freedoms (DPS). Finance Minister Simeon Djankov also opposed the step and it turned out to be one of the reasons for his resignation submitted on February 18.
According to the calendar of the Finance Ministry, there will be four auctions in January.
On January 6th and January 27th, government securities with a nominal value of BGN 400 M will be offered at each auction, while on January 13th and January 20th, government securities worth BGN 50 M will be offered at each auction.
According to Sega daily, apart from the large volume, it is noteworthy that the Finance Ministry is opting for short-term securities with a maturity date in 2014.
The two big auctions in January will offer six-month and nine-month securities.
The Finance Ministry has insisted that issuing short-term debt will be a priority in the first three months of the year in order to boost revenues into the state coffers.