The Treasury will resume auctions next week, with the issuance of bills, bonds and government obligations

September 1 () –

The Spanish Treasury will open the auctions for the month of September next week, with issues of treasury bills, bonds and government obligations, according to the calendar published by the agency dependent on the Ministry of Economy.

Specifically, on Tuesday, September 3, the Treasury will open the September auctions with an issue of six- and twelve-month bills. In the last auction of this type, the public body placed 5.187 billion euros and did so by offering lower yields for both the six-month bills and the twelve-month reference.

Specifically, the yield on six-month bills was 3.267%, lower than the 3.456% of the previous issue, while for twelve-month bills, the remuneration was 2.975%, below the previous 3.392%.

On Thursday, government bonds and debentures will be auctioned. The Treasury will issue 3-year government bonds with a coupon of 2.50%; 5-year government bonds with a coupon of 3.50%; inflation-indexed government bonds with a remaining life of 6 years and 3 months and a coupon of 1%; and 10-year government bonds with a coupon of 3.45%.

The marginal benchmarks for this auction are 2.706% for 3-year government bonds; 3.005% for 5-year government bonds; 1.035% for inflation-indexed government bonds with a residual life of 6 years and 3 months; and 3.112% for 10-year government bonds.

TREASURY FINANCING PROGRAM FOR 2024

Overall, the Treasury’s 2024 financing strategy foresees new financing needs of around €55 billion for this year, which represents a reduction of €10 billion compared to 2023.

The expected gross issuance will amount to 257,572 million euros, 2% higher than in 2023 due to the increase in amortizations, and the bulk will be covered by the issuance of medium- and long-term instruments with the aim of maintaining the average life of the public debt portfolio.

The Treasury’s strategy for 2024 includes plans to once again use syndications to issue certain government bonds.

Another objective for 2024 will be to maintain the diversification of the investor base and to focus on the issuance of green bonds as a structural element of the financing programme, thereby strengthening the sustainable finance market.