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Azerbaijan's Ministry of Finance places state medium-term bonds at auction

Finance Materials 8 December 2020 18:14 (UTC +04:00)

BAKU, Azerbaijan, Dec. 8

By Zeyni Jafarov - Trend:

The Baku Stock Exchange (BSE) held an auction on the placement of medium-term notes of the Ministry of Finance of Azerbaijan in the amount of 10 million manat ($5.88 million) on December 8, 2020, Trend reports citing the BSE.

The term of maturity is 1,092 days.

During the auction, 11 investors filed 30 bids in the price range from 96.1 manat ($56.5) with a yield to maturity (YTM) of 9 percent to 99.5 manat ($58.52) with the YTM of 7.69 percent.

According to the decision of the CBA, the cut-off price of bonds amounted to 99.08 manat with the YTM of 7.85 percent, and the weighted average price - 99.31 manat (7.76 percent). The total amount of orders at nominal prices amounted to 39.9 million manat ($23.4 million), and the volume of placement is 9.1 million manat ($5.35 million).

The maturity date is December 5, 2023.

Short-term notes are a monetary policy tool for regulating the money supply in circulation. Only banks can buy notes.

(1 USD = 1.7 manat on Dec. 8)

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