BUENOS AIRES, Feb 9 (Reuters) - Argentina issued a local currency treasury bond worth 25 billion pesos ($1.6 billion) and maturing in August 2019, the government said on Thursday in its official bulletin.
The note, which will be tradable on local markets, will be paid out in “five equal and consecutive quarterly installments, with the first expiring on August 8, 2018.” The bond will have an interest rate equivalent to 100 basis points above the central bank’s Badlar rate, also paid out quarterly.
Average Badlar interest rates to private banks are currently 19.63 percent. The bond will be sold in one or more tranches as determined by the Finance Ministry, the publication added.
Last month, Finance Minister Luis Caputo said Argentina planned to issue $14 billion in local currency bonds in 2017, along with $10 billion in foreign currency bonds.
$1 = 15.6775 pesos Reporting by Hernan Nessi; Writing by Luc Cohen; Editing by Lisa Von Ahn