Articles On Information: Strong demand for NTMA's first 30 year bond

Strong demand for NTMA's first 30 year bond

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The National Treasury Management Agency saw strong demand for its first ever 30-year bond today. </div>
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The NTMA is trying to lock in record low interest rates that have 
followed the European Central Bank's announcement of a €1 trillion 
quantitative easing programme. </div>
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Managers saw more than €11 billion of demand for the benchmark issue,
 far in excess of the €2 billion deal size that market participants said
 would be typical of a benchmark 30-year issue. </div>
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Lead managers set the guidance at 90 basis points over mid-swaps, 
implying a yield of just below 2.1%. The transaction was expected to be 
priced later today. </div>
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Like most of their euro zone peers, Irish bond yields have fallen 
sharply in the past year, aided by a rebound in the economy, which 
probably grew faster than any other country in the European Union in 
2014. </div>
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The <a href="http://www.rte.ie/news/business/2015/0203/677506-centralbank/">Central Bank</a>
 today raised its forecast for 2015 economic growth to 3.7% from 3.4%, 
on the back of stronger consumer and investment spending. </div>
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Last 
month, the European Central Bank said its quantitative easing (QE) 
programme would involve the purchase of sovereign bonds with maturities 
of between two and 30 years. </div>
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The NTMA last month sold €4 billion in a syndicated seven-year sale, 
out of planned issuance of between €12-15 billion of long-term bonds 
this year. </div>
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The agency fully pre-funded for 2015 last year. It plans this year to
 cover funding requirements for 2016 and to refinance bailout loans from
 the International Monetary Fund. </div>
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Barclays, Credit Agricole, Danske Bank, Davy and Royal Bank of 
Scotland have been appointed as joint lead managers for the transaction.</div>
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