Government Debt Monthly Bulletin, October 2016, IGCP

Page created: Thursday, 27 October 2016 8:27GMT

Press Release:  27 October 2016 - 5 Page(s)
Government Debt  IGCP   Monthly Bulletin

Evolution of the State direct debt

As of September 30, 2016 the Portuguese State direct debt amounted to EUR 239,995 million, increasing 0.5% vis-à-vis the end of the previous month. The variation in the debt stock was mainly due to four auctions of PGB: OT 2.875% Jul 2026 amounting to EUR 621 million, OT 3.85% Apr 2021 amounting to EUR 507 million, OT 4.95% Oct 2023 amounting to EUR 525 million and OT 4.1% Apr 2037 amounting to EUR 295 million. This increase was partially compensated by the bilateral buybacks of OT 4.2% Oct2016,  OT 4.35% Oct2017  and OT 4.45% Jun2018 (total nominal value EUR 688 million). The outstanding of Saving certificates (CA) and Treasury certificates (CT) also maintained a positive contribution (increasing by EUR 5 million and EUR 249 million, respectively). On the contrary, the stock of Tbills decreased, as the 2 Treasury bills (BT) auctions that were held, amounting to EUR 500 million (in the 6-month line BT 17 Mar 2017) and EUR 1,954 million (in the 12-month line BT 22 Sep 2017), did not fully compensate the redemption of EUR 2,846 million of BT 23 Sep 2016. Additionally, the amount of CEDIC outstanding decreased by EUR 31  million, whereas the stock of accounts payable of cash-collateral related with financial derivatives received by the Portuguese Republic, increased by EUR 22 million. Exchange rate fluctuations decreased the debt outstanding by EUR 36 million. 

The debt after cross-currency hedges stood at EUR 238,101 million, reflecting the favourable exchange rate effects of financial derivatives (amounting to EUR 1,894 million). Compared with the previous month, the debt after cross-currency hedges increased 0.5%.