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BERLIN, Dec 15 (Reuters) - Germany has earned more than 7 billion euros with the issuance of new bonds to finance its federal budget this year as negative yields are pushing down Berlin’s overall debt servicing costs to record lows, a finance ministry document showed on Tuesday.
The sum is mainly due to “historically very low interest rates”, Deputy Finance Minister Bettina Hagedorn wrote in a letter to opposition lawmaker Fabio De Masi following a parliamentary request. (Reporting by Rene Wagner and Michael Nienaber; editing by Thomas Seythal)
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BERLIN, Dec 15 (Reuters) - Germany earned more than 7 billion euros ($8.51 billion) from issuing new bonds this year as negative interest yields pushed down Berlin’s overall debt servicing costs to record lows, a finance ministry document showed on Tuesday.
The windfall is mainly due to “historically very low interest rates”, Deputy Finance Minister Bettina Hagedorn wrote in a letter to opposition lawmaker Fabio De Masi following a parliamentary request.
The average yield on new German bonds issued until end of November was -0.56 percent, resulting in revenues of 7.07 billion euros, according to the finance ministry document.