With the February edition of the Fidelis scheme for retail state bonds listed at Bucharest Exchange hitting the weakest outcome since July 2021 (RON 1 billion, EUR 200 million), the Treasury pushed further down the coupons attached to the local currency bonds, which is likely to consolidate investors’ already visible preference for bonds denominated in euros. In January and February, two-thirds of the Fidelis bonds subscribed by retail investors in Romania were denominated in euros.
In March, the Treasury set a 5.9% coupon for the 2-year local currency bonds, down from 6.15% in February, 6.55% in December, and 7.2% in September. The coupons for 4-year maturity were set at 6.6%, down from 6.75% in February and 7.1% in December.
The reduction was smaller for the 6-year bonds, which still pay 7.1% – still down from 7.25% in February and 7.5% in December.
The coupons for the bonds denominated in euros saw a change only for the 3-year maturity, to 3.5% from 3.6% in February and 3.75% in December. The 7 and 10-year bonds pay 4.5% and 6.0% respectively, still down from 4.75% and 6.2% respectively in December.
iulian@romania-insider.com
(Photo source: Alexandru Marinescu/Dreamstime.com)
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