Latvia issued new 10-year bonds worth €650 million euros with the lowest interest rate in Latvia's history - a fixed interest (coupon) rate of 0.375% per annum (yield 0.456%).
Demand for the bonds exceeded supply nearly three times over.
State Treasurer director Kaspars Āboliņš said: "The decision on the issue was adopted at a time when rates on loans in euros are at historically low levels, allowing us to fix a very low cost of long-term borrowing. In turn, the high demand for securities maintained investor confidence in Latvia as a reliable borrower."
More than 90 investors from different countries, mainly in Europe, took up the offer, the Finance Ministry said, with the deal handled by JP Morgan, Goldman Sachs and Barclays banks.
The move continues a hot streak for Latvia on the financial markets after working hard to restore investor confidence in the wake of the economic crisis of 2008-11.
The previous emission of Latvian bonds on international financial markets took place in May 2016, when 20-year bonds worth €650 million were snapped up with a coupon rate of 1.375% per annum (yield 1.514%).
