Bank offers amounted to RON1.5 billion, but the ministry was not satisfied with the yield level.
At the previous one-year bills sale August 16, the ministry sold a planned RON700 million at 6.64% average yield.
Dealers said they were expecting a higher yield at Monday’s auction, since on the secondary market the one-year paper prices point to a yield of 6.75%. “It’s clear the ministry didn’t want to pay higher yields at today’s auction,” one dealer said.
The ministry plans to sell debt worth RON4 billion in August, slightly down from RON4.24 billion sold a month earlier.
So far this year, Romania sold around RON40.6 billion (EUR9.5 billion) in leu-denominated state notes. Additionally, two foreign currency bond auctions have brought the ministry EUR1.4 billion, while an international debt sale early June raised EUR1.5 billion. (EUR1=RON4.2611)