Estonia to Increase Issue of Government Bonds to €1.5B
The Estonian government has decided to increase the issue of bonds with a maturity of ten years from €1 billion to €1.5 billion to cover the costs caused by the novel coronavirus pandemic due to increased demand from investors, the press service of the Ministry of Finance of the Republic said.
« Investors’ interest in government bonds was very high, 280 foreign investors are ready to invest €7.7 billion in them. In this regard, the ministry decided to increase the issue of securities to €1.5 billion, » the statement reads.
According to Minister of Finance Martin Helme, proceeds from the sale of bonds will be used to finance both the state budget and the additional budget adopted in April in connection with the COVID-19 pandemic.
To search for institutional investors, the Ministry of Finance authorized the banks Citigroup, Nordea and Societe Generale. The bonds are planned to be placed on the Dublin Stock Exchange.