This was €100 million higher than at the beginning of the year.

However, government guarantees declined as Bank of Cyprus cancelled a €1bn government guarantee. The government guarantee stock declined from €3.1b in June 2016 to €2.1b in September 2016.

The PDMO noted that Cyprus had issued a €1bn 7-year benchmark bond in June, priced at a coupon rate of 3.75% and a reoffer yield of 3.80%.

The geographical distribution of buyers was UK 28%, US Offshore 24%, Other Europe 16%, Cyprus 14%, Germany & Austria 12%, Greece 5% and Rest of World 1%.

Fund managers represented 62% of the offering, banks and private banks 22%, insurance and pensions 8%, hedge funds 7%, and others 1%.

“This bond builds up on the previous three benchmark issuances since 2014, further developing the sovereign yield curve and the investor base, and contributing to the overall public debt management strategic objectives,” the PDMO said.

Source: InCyprus