Netherlands' Funding Needs Rise, DSTA Raises 2021 Bond Issuance Target
By Emese Bartha
The Dutch State Treasury Agency has plans to hold four
government bond, or DSL, auctions in the third quarter, it said
Friday, also raising its annual bond issuance target due to higher
Based on recent budgetary projections, the Netherlands' cash
deficit is estimated at 56.4 billion euros ($67.29 billion), higher
than the previous EUR52.7 billion forecast, the DSTA said, adding
that the mean reason for this is the prolongation of support
measures around the coronavirus pandemic.
The higher cash deficit has resulted in a similar increase in
the total funding need to EUR114.8 billion, the DSTA said, raising
its capital market issuance target to around EUR60 billion in 2021
from EUR55 billion before. The DSTA added that the funding need
still remains surrounded by uncertainties, and the ultimate funding
need could still turn out significantly lower.
The DSTA has plans to hold four bond auctions in the coming
quarter, with two scheduled for July 13 and Aug. 31, and the terms
of the auctions will be announced at a later date.
The DSTA also has plans to have two further auctions on Sept. 14
and Sept. 28, launching a new 2029-dated DSL at one of these days,
it said, adding that it will announce the exact date after
consultations with primary dealers. The targeted issue size of the
new bond will be between EUR3 billion and EUR5 billion.
Write to Emese Bartha at firstname.lastname@example.org
(END) Dow Jones Newswires
June 25, 2021 07:43 ET (11:43 GMT)
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