Investor Presentaiton
33
FLEXIBILITY IS EMBEDDED IN LATVIA`S FUNDING STRATEGY
Main funding instruments are government debt securities issued in the international and domestic capital market
2 000
392
1 600
157
360
1 200
1 500
800
1 000
500
Debt redemption profile
1 250
(million EUR)
1 250
Power of the funding strategy lies within:
✓ Flexibility in choice of timing of issuance
✓ Flexibility in choice of currency
✓ Flexibility in tenors
✓ Flexibility to combine instruments and other
available alternatives
✓ Maintained comfortable liquidity buffer
850
500
1 000
1 000
400
850
610
520
600
467
257
320
380
210
0
2023
2024
2025
2026
2027
2028
2029
2030
191
2031
208
June -Dec
2032-
2035
2036
2037-
2046
2047
2048-
2049
2050
Domestic securities (LV ISIN)
Source: The Treasury, on May 31, 2023
Other external debt liabilities
Eurobonds (XS ISIN)
Eurobond (XS ISIN) TAPS in domestic market
Estimated central government borrowing volumes in 2022-2024
(including international and domestic market)
Actual
2022
Actual
Jan - Jun 2023
Plan
Jul-Dec 2023
Plan
2024
Gross Borrowing
volumes
2.2 bn EUR
1.7 bn EUR
1.7 bn EUR
2.6 bn EUR
(nominal amount)
Cash buffer
3.9
2.9
(% of GDP)
Source: The Treasury, June 2023
The estimated gross borrowing volume is indicative,
subject to actual state budget execution and may
change due to number of contingencies and external
factors, for example:
•
possible additional financing requirement arising from the
geopolitical situation and measures to strengthen
national security of Latvia
possible support for the economy and society to reduce
the negative impact of increase in energy pricesView entire presentation