Five primary dealers participated in the auction.
Investors placed bids for RON505 million worth of government securities at the auction, but the ministry decided to reject all bids, deeming the bid price “unacceptable”, per central bank data.
The finance ministry last sold government bonds of the same issue at an auction held in February, achieving an average yield of 6.11%. Demand for the government bonds, which have an annual coupon of 6.75%, totalled RON2.085 billion back then.
According to the regulatory framework for government bond market operations, the ministry can entirely reject the bids unless the prices offered by investors are deemed acceptable for the issuer.
Romania has sold about RON27.485 billion worth of government securities year-to-date.