Authorisations to borrow in 2010
On Nov. 6, Norway’s Ministry of Finance presented a proposition to the Storting (Parliament) concerning authorisation for central government borrowing in 2010.
The government’s gross financing requirement for 2010 is NOK 44.2 billion. The financing requirement is planned to be covered by borrowing in the domestic market, and by drawing on the cash reserves.
There is a need for flexibility in the government’s borrowing program in order to adjust to changes during the year. The Ministry proposes authorisation to raise NOK 50 billion in new long-term domestic loans. Maximum outstanding of short-term market instruments (Treasury bills) is proposed at NOK 350 billion. The T-bills used in the Government securities swap facility is included in this authorisation. The Ministry proposes authorisation to have an unlimited outstanding amount of other short-term debt (mainly mandatory deposits with the Treasury).
The Ministry will not ask for authorisation to enter into new agreements under the Government securities swap facility.
In December 2009, the Ministry of Finance and Norges Bank will publish an auction calendar for the issuance of government bonds and Treasury bills in 2010.
Source: Ministry of Finance
