External public bonds
In reference to the external debt, the National Treasury carries out, regularly, issuances of Global Bonds. Since 2007, the bonds issued are referenced in US dollar and Real (both with cash flows in US dollar), usually 10 and 30-year benchmarks. As defined in the Annual Borrowing Plan, this strategy has the objective of consolidate benchmarks points for an efficient yield curve on both currencies. The main characteristics of the recent sovereign issuances are:
- Definition of the yield during the issuance.
- Definition of the coupon on the first issuance, being this kept the same during the reopening of the bond.
- Semi-annually interest coupons.
- Principal payment at maturity.
Regarding the Eurobonds, issued in Euro, the last issuance of these instruments by the National Treasury occurred in 2006. Nevertheless, there are still bonds of this type in the market, with maturity in 2015 and 2017.
In addition to the securities issued regularly through competitive process, there are still in the market the A-Bonds, a security issued in an exchange operation with the C-Bond in 2005, with similar characteristics with the original bond.
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