BUDAPEST, Dec 10 (Reuters) - Hungary published its 2009
financing plan on Wednesday which partly relies on a rescue
package which the country received from the European Union and
the International Monetary Fund earlier this year.
Followings are financing plans of central eastern European
states for next year.
Some sovereign debt issuers in Central Europe have been
donwgraded in the past months [], while Slovakia
which will enter the euro zone next year was upgraded.
[].
BULGARIA
Bulgaria, which targets a budget surplus for next year,
plans foreign financing of 370 million levs ($244.7 million) in
2009 coming from state investment loans, up from 294 million
levs planned for this year, its 2009 budget draft showed.
The government says it can auction up to 945 million levs in
Treasury bills and bonds in 2009 to stimulate the local market.
CZECH REPUBLIC
The Czech Finance Ministry said it would issue up to 132.6
billion crowns in medium- and long-term government bonds next
year, including 40 billion to 125 billion crowns on local
markets and up to 74.2 billion crowns in foreign issues.
It said foreign borrowing would make up a maximum of 50
percent of its 2009 requirements. []
HUNGARY
Hungary plans to sell 535 billion forints ($2.61 billion)
less forint government bonds in 2009 than expiries and plans to
use a significant part of a loan from the European Union and the
IMF for financing.
The state debt management agency AKK said that next year it
planned to use 1,430 billion forints worth of funds from mainly
the loan granted by the European Commission in October when the
country faced financial crisis.
The AKK does not plan to restart regular government bond
auctions in the first quarter, only occasional ones.
Hungary's total net financing need will drop to 832.7
billion forints next year from 909.7 billion in 2008 as the
budget deficit will fall.
POLAND
Poland's 2008 financing need was 42.7 billion zlotys ($14.03
billion) and next year it is expected to decrease to 39.1
billion according to the finance ministry's strategy. In 2010
the financing need is seen at 32.6 billion zlotys.
The financing plan is expected to be released towards the
end of this year.
ROMANIA
Romania, which held elections late last month, has no
financing plan for 2009 yet. Increased government spending in
the run-up to the elections and slower economic growth are seen
lifting the budget deficit this year and the Finance Ministry
has revised this year's issuance to 12.7 billion lei ($4.23
billion), from 11 billion initially planned.
The strategy for 2009 envisages a slower pace of government
bond issuance for next year but recent downgrades in Romania's
credit ratings to below investment grade fuel concerns.
SLOVAKIA
Slovakia, which will enter the euro zone next year, said
last month that it planned to issue a eurobond worth 1-1.5
billion euros in the first quarter of next year and a second
issue of a similar size in the second half of 2009. The country
will also consider a Samurai bond issue.
Slovakia also plans to sell bonds worth 1-1.5 billion euros
next year in the domestic market.[]
SLOVENIA
Slovenia plans to issue a euro bond worth one billion euros
in the first quarter of 2009. The maturity will be three or five
years, depending on market conditions. An additional one billion
euro bond issue is also possible.
Additional budget needs are expected to be covered by
issues of 3-month treasury bills. The amount will be revealed in
January when Slovenia is expected to finalise and release 2009
financing plans.
(Reporting by Sandor Peto)
