site.btaFinance Ministry to Issue BGN 300 Mln in Government Bonds on Domestic Market

Bulgaria's Finance Ministry will auction 7-year bonds with a par value of BGN 300 million on the domestic market on November 17, according to a notice published on the website of the Bulgarian National Bank on Thursday. The bonds will be part of issue No. BG 20 400 25 210/29.01.2025. 

Primary dealers may participate in the auction with competitive bids on their own behalf and for their own account, or on behalf of their clients. They may also submit non-competitive bids on behalf of clients who are not banks or investment intermediaries, including those established in another EU Member State or a third country.

The maximum amount of government bonds that a single participant may acquire through competitive bids is limited to 50% of the portion offered through such bids. The ratio of securities offered via competitive and non-competitive bids is set at 50% to 50% of the total amount offered.

The Finance Ministry reserves the right to reject all bids, approve specific bids, or approve an amount different from the one initially announced.

As of Thursday, the Finance Ministry has raised BGN 3 billion in new domestic debt through 12 successful auctions, according to BTA’s reference to Ministry data. In addition, Bulgaria has tapped international capital markets twice this year, issuing bonds worth EUR 4 billion (BGN 7.82 billion) in April and EUR 3.2 billion (BGN 6.25 billion) in July.

If the upcoming November 17 auction is successful, the total amount of new debt in 2025 will reach approximately BGN 17.4 billion.

The maximum amount of new debt that Bulgaria may place on domestic and international markets this year stands at BGN 18.9 billion.

According to the draft 2026 State Budget, published on November 3 for public consultation, the ceiling for new debt issuance next year is set at EUR 10.4 billion. The draft projects that by the end of 2026, the state debt will amount to EUR 37.6 billion, equivalent to 31.3% of the country’s gross domestic product.