Romania borrows EUR 1 bln from external markets at lower than expected cost

Romania’s Finance Ministry has borrowed EUR 1 billion from external markets by reopening a bond issue that is due in 2028. The demand from investors exceeded EUR 2 billion, according to Reuters. The yield dropped to 2.15-2.20% from the 2.3% yield that was initially announced due to the high demand. A lower yield means lower costs for the state. The issue was brokered by Citigroup, JP Morgan, RBI, SG CIB, and UniCredit. Romania has the ratings Baa3/BBB-/BBB- with a stable outlook from the three ratings agencies Moody’s, Fitch and S&P. The ratings are in the investment grade category, which increases the bonds’ attractiveness. Romania’s Finance Ministry was planning to borrow EUR 3 billion from the external markets this year. It has borrowed EUR 2.25 billion so far. Romania's Finance Ministry wants to issue more Eurobonds editor@romania-insider.com