Croatia's Finance Ministry on Tuesday sold almost 845 million kuna (€112 million) worth of treasury bills, at higher interest rates than before, while it also sold €11 million worth of treasury bills at a negative interest rate.

Ahead of the maturity of 880 million kuna worth of treasury bills and €11 million worth of treasury bills, the ministry offered approximately 800 million kuna worth of them and €10 million for subscription.

Financial institutions offered 995 million kuna and €23 million in total, while the ministry accepted 845 million kuna and €11 million.

Thus, the ministry issued 545 million kuna worth of bills, borrowing for one year at 0.20 % interest, which was by 0.19% percentage points more that at the previous auction held in April. Furthermore, 300 million kuna was auctioned off in the bond maturing in six months, at the 0.05% interest.

The euro-denominated bond, worth 10 million, matures in a year, and its interest rate was -0.05%, which means that financial institutions are paying to the Croatian treasury to have that bond. Terms and conditions for the issuance of treasury bills are still favorable.

The balance of subscribed treasury bills has now been reduced by 35 million kuna to 12.4 billion kuna.

The balance of subscribed euro treasury bills remains the same, €177.5 million.

(€1 = 7.52 kuna)