<기사>Ministry of Economy and Finance to Issue 13.6 Trillion Won in Treasury Bonds Next Month...Purchasing 2 Trillion Won of Maturing Government Bonds

[Sejong=Asia Economy Reporter Son Seonhee] The Ministry of Economy and Finance announced on the 24th that it plans to issue government bonds worth approximately 1.36 trillion won next month through a competitive bidding process. Additionally, to alleviate the refinancing burden caused by the concentration of maturities at a specific point in time, it plans to purchase government bonds worth 200 billion won before their maturity.

According to the Ministry of Economy and Finance on the day, in addition to the competitive bidding method, professional dealers (PDs) and the general public can each purchase a certain amount at the highest winning bid rate for each maturity through a non-competitive subscription method. The general public is given priority allocation within 20% (2.64 trillion won) of the competitively issued amount.

Professional dealers can additionally purchase between 2% and 35% of the winning bid amount within three business days after the winning date.

The Ministry plans to purchase government bonds worth 2 trillion won that have not yet matured, while also conducting exchanges worth approximately 200 billion won between elapsed 10-year and 20-year bonds and 30-year benchmark bonds, and approximately 100 billion won between elapsed inflation-linked bonds and inflation-linked benchmark bonds to improve liquidity.