site.btaFinance Ministry to Offer EUR 150 Mln in Two-Year Bonds

The Ministry of Finance will offer for sale interest-bearing treasury bonds with a two-year maturity amounting to EUR 150 million at an auction scheduled for January 19, 2026, the Bulgarian National Bank said on Monday. The government securities are from issue No. BG 20 300 26 111/21.01.2026 and will be offered with a fixed annual interest rate of 2.25%.

This will be the first auction for placing new government debt in 2026. As Bulgaria does not yet have an adopted State Budget Act, the so-called extended budget is currently in effect. Under the Public Finance Act, in such circumstances the Council of Ministers may assume government debt solely to refinance debt in circulation, up to the amount of annual repayments on government debt incurred before the start of the respective budget year.

Under the additional terms of the domestic market auction scheduled for January 19, primary dealers may participate with competitive bids both on their own behalf and for their own account, as well as on their own behalf but for the account of their clients. Primary dealers may also take part with non-competitive bids on their own behalf but for the account of clients who are not banks or investment intermediaries, including those established in another EU Member State or in a third country.

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

Auction participants should note that the Ministry of Finance will offer additional quantities from issue BG 20 300 26 111 dated January 21, 2026, while reserving the right to reject all bids, approve selected bids, or approve an amount different from that initially announced.

In 2025, the Ministry of Finance placed new debt through the sale of government securities amounting to approximately EUR 8.9 billion (BGN 17.4 billion). Of this total, around EUR 1.7 billion (BGN 3.3 billion) was placed on the domestic market, while about EUR 7.2 billion was raised through two debt transactions on international markets.