Turkish Treasury borrows $1.7B from domestic markets

ISTANBUL

The Turkish Treasury borrowed 10.6 billion Turkish liras ($1.72 billion) from domestic markets this week, the Treasury and Finance Ministry announced on Tuesday.

Some 2.88 billion Turkish liras ($467.5 million) in five-year CPI indexed Treasury bills – reopen, semiannually, second issue – were sold in an auction on Monday.

The Treasury bills will be settled on Wednesday and mature on Jan. 29, 2025.

The total tender amounted to 6.07 billion Turkish liras ($985.4 million), with a 47.5% accepted/tendered rate.

The Treasury said the term rate of the 1,785-day Treasury bills was accepted at 1.20%, while the annual simple and compound interest rates were 2.39% and 2.41%, respectively.

In another auction on Tuesday, the Treasury issued 15-month zero coupon Treasury bills – first issue – totaling 4.89 billion Turkish liras ($793.9 million).

The bonds will be settled on Wednesday with a maturity date of March, 11, 2020.

The total tender in the second auction amounted to 8.83 billion Turkish liras ($1.43 billion), with a 55.4% accepted/tendered rate.

The term rate of 455-day government bonds was accepted at 14.12%, while the annual simple and compound interest rates were 11.30% and 11.14%, respectively.

In the last auction on Tuesday, seven-year floating rate bonds (semiannually, reopen, fifth issue) were sold, totaling 2.84 billion Turkish liras ($461 million).

The bonds will also be settled on Wednesday with a maturity date of Nov. 14, 2026.

The third auction's total tender was 5.66 billion Turkish liras ($919 million), with a 50.1% accepted/tendered rate.

The 2,429-day government bonds were accepted at 7.21%, while the annual simple and compound interest rates were 14.41% and 14.93%, respectively.