The Ministry of Finance concluded in May 2026 the weakest Fidelis issue in the history of the program: about RON 714 million in equivalent, less than in any other month in the six and a half years since the launch of government bonds intended for the population, Ziarul Financiar reported. After it hiked the coupons attached to the bonds sold to households in April, the government offered lower interest rates in May in an attempt to reduce the financing cost.

The decision to reduce interest rates came at an inopportune time. Romania is going through a period of political instability - the government was dismissed, inflationary pressures remain worrying, and the economy shows signs of slowing down. In such a context, a less attractive offer compared to the previous month discouraged some potential subscribers.

The final subscribed volume totaled RON 298 million - from the four tranches denominated in national currency - and RON 80.5 million (EUR 408 million) from the three tranches in foreign currency, the equivalent of approximately RON 716 million. The total number of orders placed was 9,613, compared to almost 22,000 in April.

Compared to the previous month, the Ministry of Finance reduced interest rates by 0.2 percentage points on each tranche. Two-year RON bonds offered 6.4%, compared to 6.6% in April; four-year bonds fell from 7.1% to 7%, and six-year bonds from 7.6% to 7.5%. The tranche dedicated to blood donors fell from 7.6% to 7.4%.

For euro-denominated bonds, the reductions followed the same pace: the three-year interest rate fell from 4.25% to 4%, the five-year bond from 5.25% to 5%, and the ten-year bond from 6.4% to 6.25%.

The most sought-after tranche remained the RON issue with a two-year maturity - RON 149.4 million. The second in volume was the ten-year euro tranche, with EUR 38.5 million. 

iulian@romania-insider.com

(Photo source: Facebook/Bursa de Valori Bucuresti)