Bulgaria’s Finance Ministry has issued BGN 200 M worth of 10-1/2 year government bonds at a weighted average yield of 2.58%, as the issue was oversubscribed.

The spread to the German Bunds in this maturity segment is 210 basis points, the Finance Ministry said in a statement on Tuesday.

Investors subscribed for BGN 225 M worth of government bonds in Monday’s auction.

The issue, which will mature on 27 July 2026, “is a benchmark in 2016 in respect of the harmonised long-term interest rate evaluating the convergence level, which is one of the Maastricht criteria,” the Finance Ministry said.

Convergence criteria, or Maastricht criteria, are criteria, based on economic indicators, that EU member states must fulfil to enter the euro zone.

Banks acquired 82.45% of the government securities in the auction. Pension funds followed with 8.05%, investment intermediaries - 5.50%, and other investors - 4.00%.