Poland to offer up to 29 billion zlotys of bonds in second quarter

04 Apr, 2011

Poland will offer up to 29 billion zlotys in bonds and as much as 12 billion zlotys in treasury bills in the second quarter, the finance ministry said on Thursday. Poland needs to borrow some 167.5 billion zlotys in 2011, of which it had raised 37 percent by end-March, the head of the ministry's debt department, Piotr Marczak, told Reuters in a separate statement.
"The portfolio of foreign investors increased by 9.9 billion zlotys in February, reaching the level of 142.4 billion zlotys," Marczak said. The ministry had some 26 billion zlotys ($9.20 billion) at its disposal at the end of this month, Marczak said, adding that a planned overhaul of Poland's pension system would lower the country's borrowing needs by 9 billion zlotys.
Under the government's plans, which may take effect as early as May, Polish wage earners' mandatory contributions to private pension funds will be reduced, leaving more money in the state system that pays out current pensions.
In the first three months of 2011, the finance ministry successfully placed a total of 21.9 billion zlotys of bonds and 13.4 billion zlotys of treasury bills. It also sold bonds in foreign currencies, raising 1 billion euros, 18 billion yen and 350 million Swiss francs.

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