UPDATE 1-Poland sells JPY 25 bln in bonds, may issue more

WARSAW, June 10 (Reuters) - Poland sold 25 billion yen in 30-year yen-denominated bonds maturing in 2038 and does not rule out further foreign currency issues, the finance ministry said on Tuesday.

The bonds were priced at 65 basis points above the 30-year swap rate, corresponding to a yield of 3.3 percent.

"Given the current market conditions this is a very good price," said Piotr Marczak, head of the finance ministry's debt management department.

Other yen or euro-denominated issues are possible this year, Marczak said, but added that market conditions would determine whether the ministry pursued this option.

"A potential yen issue is possible after the summer, most likely in the fourth quarter," Marczak said.

Poland last went to the foreign markets in March, when it placed bonds worth 475 million Swiss francs.

The ministry has been struggling recently to sell its paper on the domestic market due to weak market conditions and has been forced to change its issue plans, limiting the supply of long-term bonds in favour of shorter T-bill notes. (Reporting by Patryk Wasilewski; Editing by Ron Askew)
Source:in.reuters.com