EMTN issue
On Thursday 11 September, the Kingdom of Belgium issued within the framework of its EMTN-programme a new 10-year bond in USD at a spread of + 22 bps over mid-swap.
This new USD 1 billion bond matures on 18 September 2024 and pays a coupon of 2.875 %.
The issue has been swapped into euro in order to cancel any currency risk. The Kingdom thus effectively borrowed EUR 773.3 million for 10 years at an interest rate which was less than the interpolated OLO-yield (1.33%). As such, this was the cheapest funding ever obtained by the Kingdom on a 10-year loan.
With this transaction, the Belgian Debt Agency has completed 80.1% of its financing plan for 2014.
More details of the issue are found in the annex of this press release.