For some analysts, this strategy is a confirmation that the liberation of economic restrictions is still far from being applied. With the issuance, the Government seeks to increase “liquidity in the market and diversify the Government’s financing sources”.
Financial conditions: Same as the LTN maturing on September 13, 2024.
After the last tender on Wednesday, which included an important novelty, Luis Caputohead of the Treasury Palace, decided to temporarily stop the transfer of debt from the Central Bank to the National Treasury. This strategy, which had been intensified in May to facilitate the reduction of the central bank’s interest-bearing liabilities, resulted in a shift of that short-term debt burden to the government. Some analysts interpreted this measure as confirmation that the release of economic restrictions remains far away.
In that context, and through the Joint Resolution 33/2024 of the Ministry of Economy and the Secretariat of Finance and Treasury, the issuance and expansion of National Treasury Bills (LTN) was authorized with the following characteristics:
- National Treasury bill capitalizable in pesos with maturity September 13, 2024
Issue amount: Up to $5,400,000,000,000 (five trillion four hundred billion pesos).
- Issue date: June 14, 2024.
- Expiration date: September 13, 2024.
- Interest rate: to be determined in bidding.
- Amortization: Full upon maturity.
Negotiation: In the Electronic Open Market (MAE) and in stock exchanges and stock markets in the country.
- Tax exemptions: Enjoy all current tax exemptions.
Extension of the issuance of LTN maturing on July 12, 2024
- Expansion amount: $5,400,000,000,000 (five trillion four hundred billion pesos).
- Financial conditions: same as the LTN maturing on September 13, 2024.
Extension of the issuance of LTN maturing on August 16, 2024:
- Expansion amount: $5,400,000,000,000 (five trillion four hundred billion pesos).
- Financial conditions: Same as the LTN maturing on September 13, 2024.
The official text maintains that the objective of the issue is to finance the needs of the National Treasury and that the expansion of existing issues seeks to increase “liquidity in the market and diversify the Government’s financing sources”.
Source: Ambito
