The President of the Government highlighted the "major success" of the financing operation of the Autonomous Region of the Azores in the international market, which closed today. It reached the overall amount of 223.5 million Euros, of which 163.5 million Euros will be directed to refinancing operations; the remaining amount will be used to finance investment projects.
 
“It is possible to gauge the success of this operation at two levels.  On the one hand, the demand shown by the international market for the Region's debt and, on the other hand, the cost incurred," said Vasco Cordeiro. In this regard, he it was possible to secure an interest rate of 1.006% in this operation for a period of 10 years, being the "first time that the Region secures such a low fixed rate."
 
The demand for bonds exceeded supply by more than 50%, i.e., the Region needed 223.5 million Euros and demand reached 344 million Euros. This situation led to an apportionment among investors, with additional benefits for the Region.
 
According to Vasco Cordeiro, the operation that closed with "undeniable success" will enable the Region to reduce its financial costs substantially, representing savings of more than 2 million Euros per year in the refinancing component included in it.
 
"There is an overall assessment that can be carried out regarding the success of this operation. The interest of international markets in the Region's "bonds" demonstrates the credibility of its public accounts as well as the Region's ability to meet its financial commitments, assured the President of the Government.
 
The positive credit ratings, recently awarded by Fitch and DBRS, also contributed to the success of this operation.
 
It was led by the international financial consortium BEKA FINANCE and CRÉDIT AGRICOLE; the bonds were made available to institutional investors.