Euro bond auction

Top channel learned that in the auction held by the Bank of Albania, individuals and banks offered only 11 million EUR from the 15 millions that the Ministry of Finances had demanded in total.

According to Top Channel’s sources, the interest through which the banks and the individuals have offered this debt varies from 4.5 to 6.5. The Ministry of Finances aimed to collect 100% of the announced quantity, but it wasn’t offered by the market.

According to the Ministry, this is related with the fact that this was the first auction of this kind that was held in the internal market and the public was not completely informed. The government decision for the debt in foreign currency from individuals came after the biggest banks in the country started to decrease the loans for the government with a very quick pace, due to the conditions established by the European Union.

According to Bank of Albania, one of the biggest private banks reduced the domestic public debt with 3% by putting the government in difficulties for financing its debt. Being in this situation, the Ministry of Finances has started a wide informing campaign for encouraging the individuals to invest their savings to the government bonds, as an investment of maximal guarantee.

In fact, the figures show that besides the guarantee, the investment in Euro bonds is even more lucrative than the other alternative investments.

Top Channel