"We are considered as a reliable and very responsible partner in the world. This euro-denominated amount is the largest one ever borrowed in the country’s history. Borrowing in the foreign markets is one of the directions of our balanced borrowing," Finance Minister Vilius Sapoka was quoted as saying in a statement issued by the Finance Ministry.
A coupon of 0.25% annual interest will be paid for the 5-year Eurobond of 750 mln euro face value. The bonds have been issued at a yield of 0.345% and issue price equal to 99.530% of their face value. The settlement for the Eurobond will take place on 6 May, 2020. The Eurobonds will mature on 6 May, 2025.
Lithuania will pay 0.750% annual interest for the 10-year issue (EUR 1.25 bn face value).The bonds have been issued at a yield of 0.829% and issue price equal to 99.245% of their face value. The settlement for the Bonds will take place on 6 May, 2020. The Eurobonds will mature on 6 May, 2030.
The transaction was lead-managed by BNP Paribas, Citi and Erste Group.
In mid-March, the government approved a package of measures to stimulate the economy and mitigate the economic fallout of the coronavirus. The plan gives the government a mandate to borrow extra 5 bn euros to ensure the liquidity of the state treasury.