Treasury Bond Issuance Plan, october 2022
The Ministry of Economy and Finance plans to issue Korea Treasury Bonds worth approximately 9,000 billion won in October 2022 through competitive bidding.
Auction Schedule, October 2022
(Unit: KRW billion)
|
Name |
Auction
Notice |
Auction
Date |
Settlement
Date |
Issue Date |
Type |
Volume |
|
2Y KTB 03125-2409 |
October 6 |
October 12 |
October 13 |
September 10, 2022 |
F¹ |
1,300 |
|
3Y KTB 03125-2506 |
October 5 |
October 11 |
October 12 |
June 10, 2022 |
F |
800 |
|
3Y KTB 00000-2512 |
October 5 |
October 11 |
October 12 |
December 10, 2022 |
p₂ |
500 |
|
5Y KTB 03125-2709 |
October 19 |
October 24 |
October 25 |
September 10, 2022 |
F |
1,400 |
|
10Y KTB 03375-3206 |
October 12 |
October 17 |
October 18 |
June 10, 2022 |
F |
1,000 |
|
10Y KTB 00000-3212 |
October 12 |
October 17 |
October 18 |
December 10, 2022 |
P |
700 |
|
KTBi 01625-3206 |
October 4 |
October 7 |
October 11 |
June 10, 2022 |
F |
100 |
|
20Y KTB 03250-4209 |
October 20 |
October 25 |
October 26 |
September 10, 2022 |
F |
600 |
|
30Y KTB 03125-5209 |
September 29 |
October 4 |
October 5 |
September 10, 2022 |
F |
2,300 |
|
50Y KTB 00000-7209 |
October 11 |
October 14 |
October 17 |
September 10, 2022 |
F |
300 |
|
Conversion offer |
Conventional |
October 13 |
October 18 |
October 20 |
September 10, 2022 |
F |
300 |
1. Fungible issue
2. Pre-issuance
* Under a fungible issue system, new KTBs issued within a specified period (three-month period for 2Y KTB, six-month period for 3Y, 5Y and 10Y KTB, one-year period for 20Y and 30Y KTB, and two-year period for KTBi and 50Y KTB) are regarded as the same KTB issue.
1) Non-competitive bids option I
For retail investors, KTBs worth 1,740 billion won (no more than 20% of the offered amount in the auction excluding 50Y KTBs) will be allocated first at the highest accepted bid rate.
2) Non-competitive bids option II
A non-competitive purchasing option II is granted to primary dealers (PD) whereby PDs can make additional purchases of 10~35%* of the accepted bid amount within three business days after the auction.
* Up to 25% of the option is granted to the top-performing PDs, 20% to the 2nd best-performing PDs, 15% to the 3rd best-performing PDs, and 10% to the rest, according to their market-making performances for the last six months. MOEF will grant additional 5~10%p to best performing PDs in the monthly evaluation.
3) Non-competitive bids option III
KTB STRIPS* are supplied on the third business day after the auctions, 221 billion won for 3Y and 5Y KTBs, 271 billion won for 10Y and 30Y KTBs, and 170 billion won for 20Y KTBs. PDs that have obtained the right to purchase these KTB STRIPS can make purchases of up to 20 billion won.
* Purchases are made in a stripped bond type, and the PDs have to meet their obligations of separating interest and principal for their purchases over the next month.
4) Buyback
|
Date |
KTBs to be purchased |
Amount |
|
October 19
10:40~11:00 am |
KTB 00875-2312
KTB 03500-2403
KTB 03000-2409
KTB 01500-2503
KTBi 01125-3006 |
KRW 1,500 billion |
* Further details will be provided on October 14 on the BOK website.
5) Conversion offer
|
Date |
KTB to be issued |
KTBs to be purchased |
Amount |
|
October 18
10:40-11:00 am |
30Y KTB 03125-5209
(Maturing on September 10, 2052) |
KTB 01375-2912
KTB 01375-3006
KTB 01500-3012
KTB 04000-3112
KTB 02625-3509
KTB 01500-3609 |
KRW 300 billion |
* Further details will be provided on October 13 on the BOK website.
＊Non-competitive option Ⅵ has yet to be decided. If non-competitive option Ⅵ needs to be implemented, the Ministry will announce it on October 13 with a detailed plan.
＊＊Considering the market situation, the Ministry will extend the Dutch auction and increased non-competitive bid option II that are currently in effect temporarily, from February 2022 to the second quarter of 2023..
|
Prior to February 2022 |
Increased option (Temporary) |
|
% of the non-competitive bid option II |
20% to the top-performing PDs
15% to the 2nd best-performing PDs
10% to the 3rd best-performing PDs
5% for the rest (according to their
market-making performances for the last half of the year)
+ additional 10%p to 1st to 5th best- performing PDs, and 5%p to 6th to
10th best-performing PDs (according to the monthly evaluation) |
25% to the top-performing PDs
20% to the 2nd best-performing PDs
15% to the 3rd best-performing PDs
10% for the rest (according to their
market-making performances for the last half of the year)
+ additional 10%p to 1st to 5th best- performing PDs, and 5%p to 6th to 10th best-performing PDs (according to the monthly evaluation) |
