EGB Supply - W/C 27 March, 2023 (2/2)

• On Thursday, Italy will look to hold its final end-of-much auction. We expect the on-the-run 5-year 3.40% Apr-28 BTP (ISIN: IT0005521981) to be on offer alongside the on-the-run 10-year 4.40% May-33 BTP (ISIN: IT0005518128) and the recently issued 0.80% Oct-28 CCTeu (ISIN: IT0005534984). The bonds on offer will be announced later today.
• On Friday, Belgium will conclude issuance for the week with an ORI Facility operation (we pencil in a E500mln size across two off-the-run OLOs).
• If market conditions allow, there is the potential for an Austrian syndication either in the upcoming week or the following week.

This week sees E26.2bln of redemptions, the majority of which (E25.1bln are a French formerly 5-year OAT) with a E1.0bln of a formerly 3-year Slovenian government bond. Coupon payments total E4.2bln, of which E3.8bln are Finnish. With estimated gross nominal issuance of E28.0bln this week, we look for net flows of negative E2.5bln in the week ahead, down from last week’s positive E8.7bln.

For more on the week ahead's issuance and a recap of last week's issuance, see the PDF here.