Hungary’s State Debt Sees Significant Increase Once More
The Government Debt Management Agency (ÁKK) exceeded expectations by selling HUF 132.5bn of bonds at auction on Thursday. This amount was HUF 52.5bn over the original plan, indicating strong demand for Hungarian government securities.
ÁKK allocated HUF 50.0bn of three-year bonds, surpassing the initial offer by HUF 20.0bn. The average yield on these bonds was 6.55pc, slightly higher than the secondary market benchmark yield and the yield from the previous auction of the same bonds.
In addition, ÁKK sold HUF 53.5bn of five-year bonds, exceeding the planned amount by HUF 23.5bn. The average yield for this maturity was 6.54pc, slightly above the benchmark and higher than the previous auction yield.
Furthermore, ÁKK sold HUF 29.0bn of ten-year bonds, surpassing the original offer by HUF 9.0bn. The average yield for these bonds was 6.87pc, slightly above the benchmark and higher than the previous auction yield.
Overall, this strong demand for Hungarian government bonds reflects investor confidence in the country’s financial stability and economic prospects. It also demonstrates the attractiveness of Hungarian securities as an investment option.
Investors are encouraged to stay informed about developments in the Hungarian bond market and consider the potential opportunities it may offer.
