Ireland’s debt agency raised €1.25 billion in government debt on Thursday after it successfully completed two bond auctions despite ongoing upheaval in the wider sovereign debt market.
The National Treasury Management Agency (NTMA) sold €550 million worth of bonds due to mature in 2032, along with €700 million worth of debt to mature in 2035, it said in a statement.
The yield, or interest rate, on the 2032 bond was 3.231 per cent, while the rate on the 2035 bond was 3.416 per cent. The six-year debt was 2.34 times oversubscribed, while the nine year had a bid to cover ratio of 1.89.
When the NTMA sold 10 year debt in July, it paid a yield of 3.242 per cent and saw a bid to cover ratio of 1.97.
The auctions came amid turmoil in the global government bond market in recent weeks. The yield on US, European and Japanese bonds have spiked, amid worries that inflation may be allowed to increase as well as fears that government indebtedness in the west may becoming untenable.
Benchmark US 10 year treasury yields hit the highest level since 2023 on Wednesday, while interest on German bunds hit a level not seen since 2011. The yield on gilts, as UK goverment bonds are known, are close to their highest since 2008.