Hungary State Debt at 85.0% of Full-Year Target

Hungary's net issuance of state debt stood at 85.0% of the full-year plan at the end of the second quarter, the Government Debt Management Agency (ÁKK) said in a press release.

As MTI reports, net issuance came to HUF 4,615 billion, compared to the HUF 5,455 billion target for the whole year.

Net retail issuance stood at HUF 988 billion, 76% of the full-year target. Net forint issuance to institutional investors reached HUF 2,476 billion, 154% of the annual target, and FX issues came to the equivalent of HUF 1,151 billion, 45% of the target. Gross issuance reached HUF 9,381 billion, 56% of the full-year target.

Supporting market sentiment and strong investor demand enabled ÁKK to finance the government debt and build up additional liquid reserves with yield levels lower than typical levels in the previous periods, the agency said.

The financial conditions for the operation of the state are ensured, financing of the public debt is stable, ÁKK added.

FX debt accounted for 28% of state debt at the end of June, in the 27%-33% target range. The share of retail debt reached 23%, also in the 20%-25% target range.

Regarding total debt, average remaining time to maturity (ATM) reached 5.5 years.