{"id":260579,"date":"2009-11-20T15:12:06","date_gmt":"2009-11-20T15:12:06","guid":{"rendered":"http:\/\/new.moldova.org\/2009\/11\/20\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/"},"modified":"2009-11-20T15:12:06","modified_gmt":"2009-11-20T15:12:06","slug":"moldovan-ministry-of-finance-sells-government-securities-204533-eng","status":"publish","type":"post","link":"https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/","title":{"rendered":"Moldovan Ministry of Finance sells government securities"},"content":{"rendered":"Reading Time: <\/span> 3<\/span> minutes<\/span><\/span>

The Moldovan Ministry of Finance has earned 127.3 million lei ($11.4 million) for the budget, as a result of the sale of government securities.<\/p>\n

According to the data by the National Bank of Moldova (NBM), the demand for government securities constituted 256.9 million lei ($23.1 million), whereas the initial supply of the ministry constituted 102 million lei. The average profitability on 21-day government securities constituted 2.44% against 2.44% at the previous auction; on 91-day government securities – 4.91% against 5.28%, on 182-day government securities – 9.91% against 10.18%, on 364-day government securities 10.99% against 11.14%.<\/p>\n

This week the Ministry of Finance raised its offer of 21-day government securities by 13 million, on 182-day government securities – by 3 million, on 364-day government securities by 2 million.<\/p>\n

The Ministry of Finance placed 21-day government securities worth 22 million lei, whereas the demand constituted 24.2 million lei, 91-day government securities worth 28 million lei, against the demand at 78 million lei, 182-day government securities worth 40 million lei against the demand at 120 million lei and 364-day government securities worth 12 million lei against the demand at 34.7 million lei.<\/p>\n

Analysts underscored the yield fall on all the government securities from the end of October. If at the beginning of the month at an auction on November 3 the average yield on 21-day government securities constituted 2.61%, on 91-day government securities – 5.7%, on 182-day government securities – 10.33%, on 364-day government securities – 11.22%, so at the last auction the yield on 21-day government securities accounted for 2.44%, on 91-day government securities – 4.91, 182- day government securities – 9.91%, 364- day government securities – 10.99%.<\/p>\n

"During two weeks the yield on 21-day government securities dropped by 0.17%, on 91-day government securities – by 0.79%, on 182-day government securities – by 0.42%, on 364-day government securities – by 0.23%", they remarked.<\/p>\n

Despite the decrease in the yield of government securities the banks’ demand for them continues growing. At the beginning of the month the demand for 21-day government securities accounted for 18.2 million lei, on 91-day government securities – 57.1 million lei, on 182-day government securities – 48.1 million, on 364-day government securities – 18.5 million. For two weeks the demand for 21-day government securities increased by 6 million lei, for 91-day government securities – by 20.9 million lei, for 182-21-day government securities – by 71.9 million lei and for 364-day government securities – by 6.2 million lei.<\/p>\n

The Credit-Profit financing company considers that the increase in the demand for government securities on the part of the banks is, in the first place, due to the fact that the banks have no other possibility to invest their money.<\/p>\n

"Under the crisis conditions business people are afraid to take credits. That is why, the most optimal decision is the investment in long-term securities, which fact is confirmed by the demand for them, which increased twofold", an expert of the company said.<\/p>\n

Market experts assume that the banks hope that the regulator will continue crediting them on the basic rate for the purpose of allocating cheap credit resources into the real economy sector. But when the banks receive credits with a 5% interest rate, it is more profitable for them to invest their financial resources in high-liquidity long-term government securities.<\/p>\n

"If the NBM and the Ministry of Finance cannot follow up these processes, it will come out as though the banks parasitize at the cost of the state by taking credits with low interest rates from the NBM and reselling then at higher rates, as for example, in the case with the purchase of long-term government securities, which yield exceeds the basic rate", the expert concluded.
\n <\/p>\n","protected":false},"excerpt":{"rendered":"

Reading Time: <\/span> 3<\/span> minutes<\/span><\/span>The Moldovan Ministry of Finance has earned 127.3 million lei ($11.4 million) for the budget, as a result of the sale of government securities.<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-260579","post","type-post","status-publish","format-standard","hentry","category-economy"],"content_social_share":"Reading Time: <\/span> 3<\/span> minutes<\/span><\/span>

The Moldovan Ministry of Finance has earned 127.3 million lei ($11.4 million) for the budget, as a result of the sale of government securities.<\/p>\n

According to the data by the National Bank of Moldova (NBM), the demand for government securities constituted 256.9 million lei ($23.1 million), whereas the initial supply of the ministry constituted 102 million lei. The average profitability on 21-day government securities constituted 2.44% against 2.44% at the previous auction; on 91-day government securities – 4.91% against 5.28%, on 182-day government securities – 9.91% against 10.18%, on 364-day government securities 10.99% against 11.14%.<\/p>\n

This week the Ministry of Finance raised its offer of 21-day government securities by 13 million, on 182-day government securities – by 3 million, on 364-day government securities by 2 million.<\/p>\n

The Ministry of Finance placed 21-day government securities worth 22 million lei, whereas the demand constituted 24.2 million lei, 91-day government securities worth 28 million lei, against the demand at 78 million lei, 182-day government securities worth 40 million lei against the demand at 120 million lei and 364-day government securities worth 12 million lei against the demand at 34.7 million lei.<\/p>\n

Analysts underscored the yield fall on all the government securities from the end of October. If at the beginning of the month at an auction on November 3 the average yield on 21-day government securities constituted 2.61%, on 91-day government securities – 5.7%, on 182-day government securities – 10.33%, on 364-day government securities – 11.22%, so at the last auction the yield on 21-day government securities accounted for 2.44%, on 91-day government securities – 4.91, 182- day government securities – 9.91%, 364- day government securities – 10.99%.<\/p>\n

"During two weeks the yield on 21-day government securities dropped by 0.17%, on 91-day government securities – by 0.79%, on 182-day government securities – by 0.42%, on 364-day government securities – by 0.23%", they remarked.<\/p>\n

Despite the decrease in the yield of government securities the banks’ demand for them continues growing. At the beginning of the month the demand for 21-day government securities accounted for 18.2 million lei, on 91-day government securities – 57.1 million lei, on 182-day government securities – 48.1 million, on 364-day government securities – 18.5 million. For two weeks the demand for 21-day government securities increased by 6 million lei, for 91-day government securities – by 20.9 million lei, for 182-21-day government securities – by 71.9 million lei and for 364-day government securities – by 6.2 million lei.<\/p>\n

The Credit-Profit financing company considers that the increase in the demand for government securities on the part of the banks is, in the first place, due to the fact that the banks have no other possibility to invest their money.<\/p>\n

"Under the crisis conditions business people are afraid to take credits. That is why, the most optimal decision is the investment in long-term securities, which fact is confirmed by the demand for them, which increased twofold", an expert of the company said.<\/p>\n

Market experts assume that the banks hope that the regulator will continue crediting them on the basic rate for the purpose of allocating cheap credit resources into the real economy sector. But when the banks receive credits with a 5% interest rate, it is more profitable for them to invest their financial resources in high-liquidity long-term government securities.<\/p>\n

"If the NBM and the Ministry of Finance cannot follow up these processes, it will come out as though the banks parasitize at the cost of the state by taking credits with low interest rates from the NBM and reselling then at higher rates, as for example, in the case with the purchase of long-term government securities, which yield exceeds the basic rate", the expert concluded.
\n <\/p>\n

<\/div>
<\/div>
<\/path><\/svg><\/span><\/a><\/path><\/svg><\/span><\/a><\/path><\/svg><\/span><\/a><\/path><\/svg><\/span><\/a><\/div>
<\/div><\/div>
<\/div>","yoast_head":"\nMoldovan Ministry of Finance sells government securities - Moldova.org<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Autor invitat\" \/>\n\t<meta name=\"twitter:label2\" content=\"Estimated reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\\\/\"},\"author\":{\"name\":\"Autor invitat\",\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/#\\\/schema\\\/person\\\/e590ccdfbd35fcd038aaf1b84370dadd\"},\"headline\":\"Moldovan Ministry of Finance sells government securities\",\"datePublished\":\"2009-11-20T15:12:06+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\\\/\"},\"wordCount\":582,\"articleSection\":[\"Economy\"],\"inLanguage\":\"en-GB\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\\\/\",\"url\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\\\/\",\"name\":\"Moldovan Ministry of Finance sells government securities - Moldova.org\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/#website\"},\"datePublished\":\"2009-11-20T15:12:06+00:00\",\"author\":{\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/#\\\/schema\\\/person\\\/e590ccdfbd35fcd038aaf1b84370dadd\"},\"breadcrumb\":{\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\\\/#breadcrumb\"},\"inLanguage\":\"en-GB\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/www.moldova.org\\\/en\\\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\\\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Moldovan Ministry of Finance sells government securities\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/#website\",\"url\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/\",\"name\":\"Moldova.org\",\"description\":\"The first news website of Moldova\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-GB\"},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/#\\\/schema\\\/person\\\/e590ccdfbd35fcd038aaf1b84370dadd\",\"name\":\"Autor invitat\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-GB\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/f57d391b1fe13609c1c398a550a7b6f0e8babe6cd537d48bbeb806ba55c53094?s=96&d=mm&r=g\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/f57d391b1fe13609c1c398a550a7b6f0e8babe6cd537d48bbeb806ba55c53094?s=96&d=mm&r=g\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/f57d391b1fe13609c1c398a550a7b6f0e8babe6cd537d48bbeb806ba55c53094?s=96&d=mm&r=g\",\"caption\":\"Autor invitat\"},\"url\":\"https:\\\/\\\/www.moldova.org\\\/en\\\/author\\\/admin\\\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Moldovan Ministry of Finance sells government securities - Moldova.org","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/","twitter_misc":{"Written by":"Autor invitat","Estimated reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/#article","isPartOf":{"@id":"https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/"},"author":{"name":"Autor invitat","@id":"https:\/\/www.moldova.org\/en\/#\/schema\/person\/e590ccdfbd35fcd038aaf1b84370dadd"},"headline":"Moldovan Ministry of Finance sells government securities","datePublished":"2009-11-20T15:12:06+00:00","mainEntityOfPage":{"@id":"https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/"},"wordCount":582,"articleSection":["Economy"],"inLanguage":"en-GB"},{"@type":"WebPage","@id":"https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/","url":"https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/","name":"Moldovan Ministry of Finance sells government securities - Moldova.org","isPartOf":{"@id":"https:\/\/www.moldova.org\/en\/#website"},"datePublished":"2009-11-20T15:12:06+00:00","author":{"@id":"https:\/\/www.moldova.org\/en\/#\/schema\/person\/e590ccdfbd35fcd038aaf1b84370dadd"},"breadcrumb":{"@id":"https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/#breadcrumb"},"inLanguage":"en-GB","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.moldova.org\/en\/moldovan-ministry-of-finance-sells-government-securities-204533-eng\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.moldova.org\/en\/"},{"@type":"ListItem","position":2,"name":"Moldovan Ministry of Finance sells government securities"}]},{"@type":"WebSite","@id":"https:\/\/www.moldova.org\/en\/#website","url":"https:\/\/www.moldova.org\/en\/","name":"Moldova.org","description":"The first news website of Moldova","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.moldova.org\/en\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-GB"},{"@type":"Person","@id":"https:\/\/www.moldova.org\/en\/#\/schema\/person\/e590ccdfbd35fcd038aaf1b84370dadd","name":"Autor invitat","image":{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/secure.gravatar.com\/avatar\/f57d391b1fe13609c1c398a550a7b6f0e8babe6cd537d48bbeb806ba55c53094?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/f57d391b1fe13609c1c398a550a7b6f0e8babe6cd537d48bbeb806ba55c53094?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/f57d391b1fe13609c1c398a550a7b6f0e8babe6cd537d48bbeb806ba55c53094?s=96&d=mm&r=g","caption":"Autor invitat"},"url":"https:\/\/www.moldova.org\/en\/author\/admin\/"}]}},"_links":{"self":[{"href":"https:\/\/www.moldova.org\/en\/wp-json\/wp\/v2\/posts\/260579","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.moldova.org\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.moldova.org\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.moldova.org\/en\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.moldova.org\/en\/wp-json\/wp\/v2\/comments?post=260579"}],"version-history":[{"count":0,"href":"https:\/\/www.moldova.org\/en\/wp-json\/wp\/v2\/posts\/260579\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.moldova.org\/en\/wp-json\/wp\/v2\/media?parent=260579"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.moldova.org\/en\/wp-json\/wp\/v2\/categories?post=260579"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.moldova.org\/en\/wp-json\/wp\/v2\/tags?post=260579"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}