Cyprus raised €1 billion through a 10-year bond at a record-low interest rate after investors offered more than 16 times the amount requested, the Finance Ministry said.
The government sought €1 billion through a new 10-year European Medium Term Note to cover 2026 financing needs. Investors offered €16.5 billion, the highest amount ever achieved for a Cypriot bond issue, according to a joint statement from the Finance Ministry and Public Debt Management Office.
The order book closed at nearly €16.5 billion, far exceeding the requested amount from early in the process. Cyprus set the final interest rate at 3.25%, with a spread of 44 basis points over mid-swaps base rates—a historic low for the country.
The Finance Ministry said the result reflects sound government economic policy that creates stability and security for investors.
The statement cited fiscal discipline and resilient economic fundamentals as reasons for the strong demand, which reduces state borrowing costs and ensures smooth financing from international markets.
Finance Minister Makis Keravnos called the result a distinguished success that reflects market confidence in Cyprus’s economy.
He attributed this to rational economic policy based on fiscal discipline and development practices, noting the economy shows vitality and resilience despite an international environment full of serious challenges and uncertainties.
The government will continue its economic policy focused on continuous, stable and sustainable growth that attracts foreign and domestic investment, Keravnos said.
The policy aims to reduce public debt as a percentage of GDP, freeing up economic capacity to deepen social policy benefiting weaker and middle classes, he added.