The Ministry of Economy placed $1.53 billion this Thursday in the first debt tender in pesos of November after rejecting a quarter of the offers made by investors. So, he could only renew 52% of the payments committed for the coming days, which are around $2.9 billion. Besides, in the exchange which had been launched to decompress the maturity of an inflation-linked bond scheduled for February 2025 achieved an adhesion of creditors just above 38%.
As he told Scope, the low percentage of refinancing of the next maturities was expected by analysts. Above all, after the call for bids excluded (for the second consecutive time) both Lecap and Boncapthe fixed rate bills and bonds that have staged an upward rally in recent weeks. Again, the team Luis Caputo decided to put on the table only bonds that adjust for CER (inflation), known as Boncer.
Debt: tender details
On this occasion, the Ministry of Finance, which leads Pablo Quirnoreceived offers totaling $2.17 billion, of which it awarded $1.53 billion. This way, the Government will free the market next Monday, when the operation is settled, about $1.4 billion.
Officials argue that partial renewals of maturities are part of the monetary strategy since banks need to obtain liquidity to supply the demand for credit by their clients. With most of the issuance taps closed, the payment of part of the Treasury’s commitments with the cushion of pesos that it has deposited in the Central Bank is one of the ways to remonetize the economy. In any case, in the coming days it will be seen if that is indeed the destination of the non-refinanced pesos.
Specifically, Finance placed $134,762 million in the Boncer zero coupon TZXY5 as of May 2025, $69,204 million in the TZXO5 as of October of next year, $798,472 million in the TZXM6 as of March 2026 and $525,770 million in the TZXO6 as of October 2026.
Rates sign
As was also expected, the Government managed to place these titles at lower real interest rates than in the last tender (at the end of October), when they had cut between 11.57% and 11.98%.
On this occasion, the annual effective internal rates of return (TIREA) were 7.37% for the TZXY5, 8.99% for the TZXO5, 10.19% for the TZXM6 and 10.15% for the TZXO6 Quirno reported. It is believed that the decision to reject a quarter of the offers made by the market had to do with the objective of reinforcing the signal that the Treasury does not validate higher rate levels for the CER curve.
Either way, the rate sign It was not directed only at the tendered instruments. Above all, he pointed to the curve of the Lecap and the Boncap. The fact of excluding them from the operation, they consider in the city, sought to reinforce the message sent in the previous auction: that, as the Government considers that inflation will continue to decline, rates have more room to compress, even after the setback they experienced. during the last month on the secondary market.
The market reacted in that direction again. This Wednesday there was significant demand for long Boncap and Lecap, which raised their price and further compressed yields. As calculated by trader Adrián Wibly, the monthly effective rates (TEM) of this segment were reduced between 0.2 and 0.4 percentage points compared to the level a week ago and They closed between 2.75% and 3%. The curve was inverted, with lower returns on the long side.
T2X5 exchange result
On the other hand, Economía had proposed a exchange voluntary at market prices for holders of the Boncer T2X5, which expires in February next year, with the aim of kicking forward part of that expiration.
The result: 38.25% of creditors entered the exchange. In exchange, they received $3.43 billion of cash value in the Boncer TZX26which expires in June 2026.
“This operation represents a average life extension of 1.38 years“, they pointed out from Finance. Unlike the T2X5, the TZX26 does not pay an interest coupon (it is a mechanism that Caputo uses so that it is not reflected in the financial fiscal result), although it cut at a nominal annual rate of 10.51% due at its placement price.
Source: Ambito
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