Issuance of 8 Trillion KRW in Treasury Bonds from January to February... Support for COVID-19 Damage

[Asia Economy Reporter Kwangho Lee] The Ministry of Economy and Finance announced on the 13th that it plans to issue treasury bills (63-day maturity) worth 2 trillion won in January and 6 trillion won in February in five installments to support smooth fiscal execution.

Treasury bills refer to securities issued in the financial market to cover temporary shortages of national treasury funds caused by timing mismatches in revenue and expenditure.

This treasury bill issuance will be conducted through competitive bidding targeting 20 Monetary Stabilization Bonds bidding institutions, 17 primary dealers of government bonds, 4 reserve primary dealers, and 3 national treasury fund management institutions.

The funds raised through the treasury bill issuance in January and February will be used as execution funds for major projects such as support for damages caused by the novel coronavirus infection (COVID-19), and the outstanding balance of treasury bills at the end of February is expected to reach 8 trillion won.

An official from the Ministry of Economy and Finance stated, "Going forward, we will minimize unnecessary idle funds through meticulous management of national treasury income and expenditure, and in case of short-term fund shortages during the treasury cash management process, we will secure funds through temporary borrowing such as issuing treasury bills to timely support the execution of major projects."

This content was produced with the assistance of AI translation services.