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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 2 200 2 000 1 800 1 600 1 400 1 200 1 000 Debt redemption profile (million EUR) stluk…. 800 600 400 200 0 2023 Oct-Dec 2024 2025 2026 2027 2028 2029 2030 2031 2032 Domestic securities (LV ISIN) Source: The Treasury, on September 30, 2023 ■Other external debt liabilities Eurobonds (XS ISIN) 2033 2034- 2036 2037- 2047 2048- 2050 2035 2046 2049 ■Eurobond (XS ISIN) TAPS in domestic market 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 Actual 2022 Estimated central government borrowing volumes in 2022-2024 (including international and domestic market) Actual Plan Jan - Sep 2023 Oct-Dec 2023 Plan 2024 Gross Borrowing volumes 2.2 bn EUR 2.6 bn EUR 0.8 bn EUR 3.0 bn EUR (nominal amount) Cash buffer 3.9 5.0 (% of GDP) Source: The Treasury, September 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 prices
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