T-Bills dominate government securities market

TIRANA, Jan. 25 – The secondary market of government securities was dominated by transactions in short-term instruments (T-Bills) at 87.18% and long-term instruments (notes and bonds) at 12.82% in 2010, the Financial Supervisory Authority said. In terms of the number of transactions, 98.73% of all transactions in the secondary market of government securities were in T-Bills. Statistical data on the government securities retail market for year 2010 indicate that the market was dominated by transactions under “Settlement of nominal value at maturity” and “Sales from financial intermediary portfolio” at 46.39% and 24.74% of the total volume, respectively.
Participation in the government securities secondary market was dominated by individual investors, who performed about 96.66% of all transactions in the market.
During 2010, B-type transactions – sales from financial intermediary portfolio – decreased by ALL 8.7 billion or 42.84% compared with 2009, which was also coupled by a fall by 10.80% in the number of transactions.
C-type transactions – purchase from individuals prior to maturity – increased by ALL 1.2 billion 42.09% in 2010 compared with 2009, coupled by a rise by 54.67% in the number of transactions.
Compared with 2009, there was a rise in the combined absolute total amount of the transactions of B- and C-type, by about ALL 7.5 billion.