Estonia Issues Long-Term Bonds Worth $980Mln at 4% Interest Rate Due by 2032

MOSCOW (Sputnik) - Estonia has issued long-term government bonds with a 10-year maturity in the amount of one billion euros ($980 million) with an interest rate of 4% per annum, the country’s finance ministry said.

"Investor interest in the issuing of government bonds proved to be significant, given the recent nervous state of the market. A total of 93 international investors sought to subscribe to the bonds in excess of EUR 1.8 billion. The final volume of the long-term bond issue was EUR 1 billion and the coupon interest rate was 4% per annum. The bonds have a maturity date in October 2032," the ministry said in a statement on Thursday.

At the end of September, the Estonian government approved the state budget for 2023 with a deficit of 1 billion euros. Defense spending has become the top priority and for the first time will exceed 1 billion euros, or 2.7% of GDP. The state budget has been submitted to the parliament for discussion.

Estonia's state budget revenues for 2023 will amount to 16 billion euros, which 16% less than in 2022, while expenditures will amount to 17 billion euros, up by 18% compared to this year.