MNI BRIEF: Lower Rate Outlook Helping BTPs - Italy Debt Head
MNI (LONDON) - Improving credit risk perceptions, helped by expectations of lower interest rates, are helping to make Italian public debt more attractive to foreign investors, Davide Iacovini Italy’s Ministry of Economy and Finance senior debt manager said Wednesday.
Speaking at an AFME European Bond conference in Brussels, Iacovini said that net new buying from foreign investors had increased by Eur130bn since February of 2023.
Johan Bergstrom of the Swedish National Debt Office told the same conference that the start of QT by the Risksbank had him “wondering who will buy all these bonds”. That said, interest among investors was starting to come back - if slowly, he added.
“We want things to move quicker and turnover to increase very much quicker,” Bergstrom said.