FRANKFURT (MNI) – The European Union (EU) and the European
Financial Stability Facility (EFSF) have finalized their bond issuance
calendars for next year and will distribute E11.7 billion in funds to
Ireland in the first quarter of 2011, the Commission said in a press
release published on Tuesday.
“Disbursements envisaged by the programme over the subsequent
quarters are subject to the requirements of Ireland and to quarterly
reviews by the Commission in cooperation with the International Monetary
Fund (IMF) and in liaison with the European Central Bank (ECB),” the
press release added.
The EU has scheduled its first bond issue for the beginning of
January, while the EFSF expects its issue to take place in late January.
“The EU and the EFSF will however carefully analyse the markets
after they reopen in the New Year and may adapt funding plans
accordingly,” the press release read.
Under the auspices of the European Financial Stability Mechanism,
the EU will raise up to E17.6 billion in 2011 and E4.9 billion in 2012.
“The EU may complement its funding needs by smaller bond issues, either
through taps of issues launched under the EFSM or targeted transactions.
In the first half of 2011 the market should expect three EU benchmark
transactions,” the statement added.
The EFSF, for their part, will raise up to E16.5 billion next year
and E10 billion in 2012. The facility also plans to launch three
benchmark bonds aiming at E3 billion to E5 billion for each transaction.
However, this could be subject to revision, the press release said.
“The EFSF may complement its funding needs by smaller bond issues,
either through taps or through targeted transactions,” the statement
continued. “Syndications, auctions and private placements may be used:
In the first half of 2011 the market should expect two benchmark
issues.”
— Frankfurt bureau: +49-69-720 142; email: frankfurt@marketnews.com —
[TOPICS: M$$CR$,M$X$$$,MGX$$$,MFXBO$]
