“Bids totalling €530m were received and a total of €430m in nominal value were accepted,” the PDMO, which is a unit of the finance ministry said in an emailed statement on Wednesday.

The PDMO did not reveal further details related to the maturity of the deposits and interest rate.

The auction came a month after the government issued a €1bn 7-year bond at an average yield of 3.8%, which was the first after Cyprus completed its adjustment programme in March, agreed with international creditors in 2013.

The government, which is not facing substantial debt maturities this year in which it is expected to post a balanced budget, had €976.4m deposited at the Central Bank of Cyprus at the end of June, which carry a 0.4% negative annual interest rate.

The press understands that the interest rate the PDMO secured for the government deposits is positive.

Source: Cyprus Mail