The Slovenian treasury successfully issued bonds worth 50 billion yen (approximately €311 million), split between three-year bonds with a coupon rate of 0.75% and five-year bonds at 0.89%, according to the Finance Ministry.
The ministry hailed the offering as a significant achievement, stating that Slovenia has now established a strong presence in the Japanese financial market. To mitigate exchange rate risks between the yen and the euro, a currency swap was implemented for the entire value of the bonds. As a result, the effective financing cost for the state budget, after including hedging costs, stands at 3.031% for the three-year bond and 3.088% for the five-year bond.
Issued as social bonds, the funds raised from this issuance will be dedicated exclusively to financing social projects within Slovenia’s national budget. The offering was led by BNP Paribas, Nomura, and SMBC Nikko, with total demand surpassing 50 billion yen. The issue size was set at JPY45.1 billion for the three-year bond and JPY4.9 billion for the five-year bond.
