Turkish Treasury borrows $818M through auctions

By Tuba Sahin

ANKARA (AA) - The Turkish Treasury on Monday borrowed nearly 6 billion Turkish liras ($818 million) from domestic markets.

Some 3.7 billion Turkish liras ($498 million) in four-year fixed coupon bonds (semiannually, re-open, eighth issue) were up for the first auction, which is due to be settled on Wednesday and mature on July 24, 2024, the Treasury and Finance Ministry said.

The total tender for the government bonds was 5.9 billion Turkish liras ($796 million) with a 62.6% accepted/tendered rate.

The Treasury said the term rate of 1,428-day government bonds was accepted at 6.81%, while the annual simple and compound interest rates were 13.61% and 14.07%, respectively.

In the second auction on Monday, the Treasury issued seven-year Floating Rate Note bonds (semiannually, re-open, fourth issue) totaling 2.3 billion Turkish liras ($320 million).

The bonds will be settled on Wednesday with a maturity date of May 5, 2027.

According to the ministry, the total tender in the second auction amounted to 5.5 billion Turkish liras ($750 billion), with a 42.8% accepted/tendered rate.

The term rate of 2,443-day government bonds was accepted at 4.97%, while the annual simple and compound interest rates were 9.95% and 10.20%, respectively.