The European Commission successfully issues nearly €90 billion in 7 months under SURE

The European Commission has on Tuesday issued a €14.137 billion dual tranche social bond split over two distinct tenors: €8.137 billion due in July 2029 and €6 billion due in January 2047. With this seventh bond issuance under the programme since its start at the end of October 2020, the Commission has issued a total of €90 billion, for EU countries to support short-term employment schemes and keep people in jobs. All issuances attracted strong investors’ interest and were placed on the market under favourable pricing terms which are being passed on directly to Member States. Commissioner Johannes Hahn, in charge of Budget and Administration, said: “This is the seventh time the Commission has gone to the market for SURE, and the seventh time we have attracted strong investors’ interest. These seven successful deals for a combined value of nearly €90 billion have established the EU, in the course of just seven months, as a highly liquid, highly rated issuer of euro-denominated bonds, paving the way for the NextGenerationEU programme due to start soon.” The seventh EU SURE bond was over 6 times oversubscribed and information about the pricing terms is available online here. The funds raised will be transferred to the benefitting Member States five working days after the issuance. So far, the EU has transmitted €75.5 billion to 17 EU countries thanks to the first six EU SURE issuances. 19 EU Member States are due to receive a total of €94.3 billion in financial support under SURE. Countries can still submit requests to receive financial support under SURE which has an overall firepower of up to €100 billion.