Dutch State reopens DSL 2023 and updates borrowing requirement for 2019
On Tuesday 8 January 2019, the Dutch State Treasury Agency will reopen the ‘DSL 1.75% 15 July 2023’.
The characteristics if this bond are:
|
Maturity date |
15 July 2023 |
|
Coupon |
1.75% |
|
Issue date |
8 January 2019 |
|
Settlement date |
10 January 2019 |
|
Target amount |
€ 1.25 to € 1.75 billion |
|
Current outstanding amount |
€ 15.825.963.000 |
|
First issue of this bond |
19 March 2013 |
On the issue date at 10 a.m. (CET), the DSTA will announce the price at which Primary Dealers can buy the issue. The issuance will take the form of a tap auction, during which the DSTA may revise the price at any time. The price will be announced on the screens of MTS Netherlands and Bloomberg DSTA. Professional and private investors may participate in the auction through the Primary Dealers. The list of Primary Dealers and the borrowing requirements are available on the website. Primary Dealers have the right (under the usual conditions) to use the “non-comp” facility after the auction has been closed. Liquidity of the bond will be guaranteed through a repo facility available to the Primary Dealers.
Updated borrowing requirement for 2019
On 14 December 2018 the DSTA presented its Outlook 2019, including the funding plan for 2019. At that time the preliminary borrowing requirement for 2019 was estimated at € 43.3 billion. Based on the figures at year-end 2018, the borrowing requirement for 2019 is now estimated at € 42.6 billion. This slightly lower than expected funding need is due to improvements in the cash position at the end of 2018.
As announced in the Outlook 2019, € 19 to € 23 billion of the total borrowing requirement for 2019 will be covered by DSL issuances on the capital market. The remaining borrowing requirement will be funded on the money market.
|
Borrowing requirement 2019 |
(€ bn.) |
|
Capital market redemptions 2019 |
29.6 |
|
Money market ultimo 2018 (excl. cash collateral) |
20.2 |
|
Cash surplus 2019 |
-7.2 |
|
Total |
42.6 |
|
Call on capital market and money market 2019 |
(€ bn.) |
|
Capital market issuance (DSLs) |
19-23 |
|
Money market ultimo 2019 (excl. cash collateral) |
19-23 |
|
Total |
42.6 |