Reduced demand for securities
The Ministry of Finance's second auctions for government securities ended with the successful placement of 200 million levs. Since the beginning of the year, the government has managed to raise 1.1 billion levs from the domestic market.
However, the results show increasingly weak demand, which also leads to a more unfavorable yield for the state. Three-year bonds were traded at 3.44%, while only a month ago, when the same issue was reopened, the level reached was 3.21%, and in April - 3.01%. According to Kapital what is more worrying is that the spread compared to similar German bonds is widening, which was 40-45 basis points in the previous auctions, while now, according to the Ministry of Finance, it was 91 basis points.
Stanishev pitches to restore trust in BSP
Former BSP leader and prime minister Sergey Stanishev, has announced he may run for office again, but only after appraising the party's reaction to the dire results in the last election. He stressed that the important question was not who will stand to replace Kornelia Ninova, but what needs to be changed.
"I have a very clear idea of what to do to restore the trust in the party. Society now wants to see a left-centered unification," Stanishev added.
Stanishev served as prime minister between 2005 and 2009 and was BSP leader between 2001 and 2014.
Electricity price hike
On June 25th, Bulgaria registered the highest daily electricity price on the energy exchange for base load since the crisis in 2022. Volumes were traded on average for 397.85 levs per MWh. This is twice the monthly average price and shows a new trend in the market.
The reason for the electricity price hike lies in external factors rather than internal. The entire Balkan region is experiencing interruptions and failures in cross-border transmission between Croatia, Bosnia and Herzegovina, Albania and Montenegro.
Reduced demand for securities
The Ministry of Finance's second auctions for government securities ended with the successful placement of 200 million levs. Since the beginning of the year, the government has managed to raise 1.1 billion levs from the domestic market.
