The Cabinet of Ministers, as part of the implementation of the Medium-Term Strategy for State Debt Management for 2024-2026, approved a resolution that allows the MoF to carry out bond-swap operations to manage the state debt by holding auctions for the placement of state bonds with a simultaneous exchange for bonds of another issue that are in circulation.
It is noted that this will allow the ministry to approach liquidity management more flexibly by proactively exchanging short-maturity bonds for new bonds, thus reducing one-time payments from the Unified Treasury Account when bonds are redeemed.
Bond swap operations are a standard practice on the local debt market in European countries, which allows for an increase in market liquidity and the quality of government liquidity management.