Arguing that there is a temporary need for liquidity in colons, on October 26 the Central Bank of Costa Rica decided to participate in the secondary market by buying two different series from the Ministry of Finance, with a maturity of 9 and 10 years.
On April 13, 2020, the Board of Directors of the Central Bank of Costa Rica (BCCR) authorized its Administration to participate in the secondary securities market of the Ministry of Finance and defined the conditions under which these transactions would be executed, with the objective of mitigating situations of systemic tension caused by temporary liquidity needs in colones, informed the monetary authority.
For the rest of the year, the Guatemalan government plans to award Treasury Bonds for an amount equivalent to $136 million, which will be issued through an electronic system and physical title.
Days ago the Ministerio de Finanzas (Minfin) informed that the global amount awarded of Treasury Bonds of the Republic of Guatemala up to date, including those made through public tenders and auctions ascended to Q.17,277.9 million ($2,243.9 million), corresponding to Fiscal Year 2019.
Offering for the first time only dematerialized securities, the Government of Guatemala issued Treasury Bonds for the equivalent of $20 million, of which $7 million expires in 2028 and $13 million in 2039.
For the bonds awarded, $7 million correspond to the expiration date of 02/21/2028, at a cutoff rate of 5.9000%, and $13 million correspond to the expiration date of 05/17/2039, at a cutoff rate of 6.8800%.
Aiming to settle outstanding debts and finance part of the Electric Expansion Plan, in Panama Etesa will issue rotating bonds in the local market for up to $300 million, with a term of no more than ten years.
The issue has already been approved by the Board of Directors of Empresa de Transmisión Eléctrica S.A. (Etesa), by the National Economic Council and by the Cabinet Council, so that the bonds are placed in public auction, privately, by order book or any other method.
Because of fiscal uncertainty, in the first months of 2018, banks operating in the country reduced by 16% the amount invested in public debt securities in the local market.
Against the backdrop of doubts about the future of public finances in Costa Rica, it was reported that from January to September, 14 local public and private banks invested $3.190 million in government bonds.
On June 11, the Costa Rican Oil Refinery will issue 10-year bonds at the rate of the passive base rate plus 2.15%, with a AAA risk rating (cri) awarded by Fitch Ratings.
With a AAA risk rating (cri) designated by Fitch Costa Rica, the issuance of debt securities will be placed for a period of 10 years and a gross rate referenced to the passive base rate + 215 basis points.