Portugal's 'Agency for the Management of Treasury and Public Debt' (IGCP) this morning managed successfully to place €250 million in three month government bonds and €750 million in one year government bonds with demand in the market for three times the amount placed.
The IGCP also managed to attract low average interest rates illustrating that there is an appetite for Portugal’s bonds and at sensible interest rates.
The three month bonds attracted an average interest rate of 0.052%, a significant improvement on the last similar issue where the interest rate was 0.097%.
International demand was for nearly three times the amount placed.
In the past Portugal’s own banking sector has been known to vacuum up bond issues to save the government any embarrassment but it is thought that much of the demand today was from overseas investors.
