Treasury buys back its own bonds for USD 31 million nominal value

The Republic of Iceland has bought back, for cancellation, its own bonds in the nominal value of USD 31 million in the ICELAND 5.875% series maturing in 2022 (Reg S ISIN USX34650AA31 and 144A ISIN US451029AE22; Reg S CUSIP X34650AA3 and 144A CUSIP 451029AE2), from the Central Bank at a price of 113.29, the equivalent of ISK 3.8 bn. The total nominal value of the issue was 1,000 million US dollars.

The purchase, which comes in the wake of additional buybacks of the same series this past spring, is an element of the Treasury's liquidity and debt management strategy, which aims to reduce Treasury interest expense even further in coming years.