Sweden plans to issue first ever 30-year bond

Sweden's Debt Office said on Thursday it planned to issue its first ever 30-year nominal bond and would probably release details of the issue early next week.

“The plan is for next week,” said Thomas Olofsson, the head of debt management at the Swedish National Debt Office (Riksgälden).

In February, the Debt Office said it had asked its money market counterparties to sound out demand for a long-term bond.

Counterparties suggested issuing at least 20 billion kronor ($2.47 billion) of the new debt.

“We have approved this,” Olofsson said.

The debt office’s current longest-term nominal bond, loan 1047, matures in 12 years’ time.


Sweden boasts hefty budget surplus for 2011

Sweden’s national debt office (Riksgälden) stated on Tuesday that the country’s budget surplus from 2011 stood at 68 billion kronor ($9.85 billion).

“Despite increased concerns about the debt situation in the world and an expected slowdown in the economy during the second half, Swedish government finances developed strongly in 2011,” the debt office said in a statement.

While Sweden, with its heavily export reliant economy was hard-hit during the 2008-2009 financial crisis, its recovery “continued to be strong in 2011, which generated higher tax income,” the office said.

The debt office pointed out that the government during the year had also sold off shares worth 23 billion kronor in the Nordic region’s biggest bank, Nordea, and in Swedish-Finnish telecom giant Telia Sonera.

Sweden’s central government debt meanwhile stood at 1,108 billion kronor at the end of 2011, which corresponds to 32 percent of the non-euro-member’s gross domestic product (GDP), far below the 60-percent level allowed within the eurozone.