ECONOMY

Romania to borrow less next month

BUCHAREST (Reuters) – Romania’s Finance Ministry said yesterday it planned to raise a total of 6.4 trillion lei ($190.5 million) in leu-denominated government securities next month, down from 9.3 trillion in March. It said eight issues of discount paper with maturities of up to one year would be placed via American-style auctions. Another four issues of two- and three-year interest-bearing bonds would be offered in single-price auctions. The ministry said it would allow competitive or non-competitive bids. It said the overall amount of non-competitive bids cannot exceed 10 percent of the ministry’s offer. All issues are available to Romanian companies and individuals. The ministry retains the right to raise, lower or annul their value in line with State Treasury financing needs and yield levels. The annual average yield at the latest offering of one-year T-bills was 13.88 percent, a shade lower than the 13.90 percent at a previous similar auction. Year-on-year inflation is estimated at around 14 percent this year compared to 17.8 percent in 2002.