The Belgian Debt Agency has raised a total of €402.5 million through the recent issuance of government bonds.
Of this amount, €382.7 million was collected through the one-year bonds and €19.8 million through ten-year bonds.
A year ago, the issuance of government bonds brought in a record sum of €22 billion. This was achieved by offering a reduced withholding tax to stimulate banks and secure a higher return for savers.
This September, the issuance did not benefit from a reduced withholding tax and faced significant competition from banks, which offered attractive interest rates to capture the €22 billion from last year.
As a result, the proceeds were lower than anticipated. Consequently, the agency will increase the outstanding amount of treasury certificates by €15 billion this year, instead of the previously planned €12 billion.
Treasury certificates are another means for the agency to borrow money in the short term from institutional investors, while government bonds are aimed at individual investors.
