Government Securities Retail Market Development for the year 2018

The volume of secondary market of Government securities during the year 2018 was dominated by transactions in short-term instruments (T-Bills) at 70.60%. The remaining part consisted of long-term instruments (notes and bonds) at 29.40%. In terms of the number of transactions, 87.80% of all transactions in the secondary market of Government securities were in T-Bills.

Statistical data on the Government securities retail market for the year 2018, indicate that the market was dominated by transactions “Purchase in the primary market” and “Payment of nominal value on maturity date” with respectively 48.55% and 34.56% of the total volume.
Transactions of the individual investors, dominate at the Government securities secondary market with 98.85% of all transactions in the market.

Graphic: Government Securities for the year 2018

A – Purchase on the primary market
B – Sales from financial intermediary portfolio
C- Purchase prior to maturity
D- Pledging Government securities as collateral

E- Payment of nominal value at maturity

During the year 2018, the B type transactions “Sales from financial intermediary portfolio” increased by ALL 484 million or 10.32% and the number of transactions increased by 0.68% compared with the year 2017.B and C Type Transactions

During the year 2018, the C type transactions “Purchase prior to maturity” increased by ALL 694 million or 27.00% and the number of transactions also increased by 0.10% compared with the year 2017.

During the year 2018, there was an increase in the absolute total amount of the transactions of B and C type, by about ALL 1,177 million compared with the year 2017.