Treasury Issues EUR-denominated Bonds

13.12.17
Treasury Issues EUR-denominated Bonds

The Republic of Iceland has today concluded agreements on issuance of bonds totalling EUR 500 million, or the equivalent of ISK 61,5 billion.  

The bonds bear fixed interest of 0.5% and have a 5-year maturity, with a yield of 0.56%. Investors showed strong interest in the issue, with total subscriptions around EUR 3,9 billion or eight times the size of the issue.  The broad-based investor group is comprised of central banks and other institutional investors, mainly from Europe. 

Citibank, Barclays, Deutsche Bank and Nomura were joint managers for the issue.

Yesterday an offer of buy back of existing bonds of 750 million euros issued in 2014 expired. Owners of 397,6 million euros accepted the offer. Owners that wished for got a priority allocation in the new bond. Treasury’s total debt increases by 12.5 bn. ISK.

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Aðrar fréttir

Dec 29 2025
Annual prospects
Quarterly Government Debt Management Prospect

Q1/2026

  • In Q1, Government bonds will be offered for sale in the amount of 40-60 b.kr. market value.
  • The bonds that could conceivably be offered are all benchmark Government issues, and issue size and market conditions will determine how much, if any, will be sold in each series.
  • It is possible that switch auctions of RIKS 26 0216 and RIKB 26 1015 will be held during the quarter.

GDM Q1 Prospect 2026.pdf

Dec 29 2025
Annual prospects
Government Debt Management Prospect 2026
  • Government bond issuance for 2026 is estimated at 200 b.kr. market value.
  • It is planned to issue a new nominal bond maturing in 2029. The size of the series concerned and market conditions will determine the amount sold in individual benchmark series.
  • It is possible that the Treasury’s year-2026 borrowing need will be met in part with issuance of Treasury bills, drawdowns of foreign deposits held in the Treasury’s current account with the Central Bank of Iceland, and the sale of a portion of the Housing Fund’s loan portfolio.

GDM Prospect 2026.pdf