Russian Finance Ministry to mainly float fixed yield bonds in 2024

The ministry is eyeing an option of offering yuan-denominated OFZ bonds for a long time.
The Russian Finance Ministry will target fixed yield instruments when offering bonds this year, department director Denis Mamonov said.
"All types of instruments remain in our mix. The focus as before will be on fixed income instruments, the so-called OFZ-PD [Federal loan bonds with fixed income - TASS] but we also reserve the opportunity to offer inflation-pegged securities, the so-called inflation linkers, and with the floating coupon," the department director said.
As regards the maturity of securities, the ministry will target the midterm and the long-term segment so that to avoid competition with corporate borrowers, Mamonov noted.
The Finance Ministry is eyeing an option of offering yuan-denominated OFZ bonds for a long time, he said.
"From our point of view, the yuan market is the most liquid and promising segment of the international market. Nevertheless, we always viewed this project as a project of developing the financial infrastructure, creating the relationship between Russian and Chinese financial markets but not as a certain significant fundraising tool," the official noted.
"We are working on offering yuan-denominated instruments but regrettably, not all depends on us in this regard. We should also see support for this initiative from Chinese partners and we are working on that now," Mamonov said.




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