NTMA to attempt bond swap repeat

The National Treasury Management Agency (NTMA) is likely to attempt to repeat this week’s successful bond swap in a bid to shave even more off its scheduled repayments for 2014.

A spokesperson for the agency reiterated yesterday it was “very pleased” with Wednesday’s transaction — despite the fact that it was Irish banks, rather than foreign investors, that dominated the offer — and would continue to consider similar opportunities in the future.

This week’s move saw the NTMA lessen the amount of debt it was due to repay to bondholders in 2014 by 30%, or €3.53 billion; effectively spreading the €12bn which was payable in that year into the previously debt free 2015. Given the healthier than anticipated result, it now seems likely that the agency will try to improve its situation further.