–Adds Additional Detail Throughout
PARIS (MNI) – France’s borrowing requirement in 2013 will be E171.1
billion, down from a revised E182.8 billion this year, the debt agency
Agence France Tresor announced Friday.
The borrowing requirement includes the projected 2013 deficit of
E61.6 billion, E107.9 billion in medium- and long-term debt maturing
next year and other minor government commitments.
Of the maturing debt, E61.4 billion is in long-term bonds and E46.5
billion is medium-term notes, the Treasury said.
Issuance of medium- and long-term BTAN and OAT bonds net of
buybacks, will be E170 billion next year, the debt agency said, down
from an unrevised E178 billion this year.
Issuance of BTF bills next year is projected to decline by E10
billion compared to the amount issued in 2012, it said.
In its 2013 budget release today, the French government said its
debt service costs next year would be E46.9 billion, down from an
estimated E48.8 billion this year.
France’s borrowing costs have fallen sharply, with the yield on the
government’s 2-year notes dropping to 18 basis points from a high of
1.9% last November.
The budget recognizes that French rates might be exceptionally low
because of the effects of the debt crisis and projects an increase in
debt service costs to E48.4 billion in 2014 and E50.9 billion in 2015.
–Paris newsroom, +33142715540; jduffy@marketnews.com
[TOPICS: M$F$$$,MGX$$$,MNXAU$,M$X$$$]
