Spain today sold €5.8 billion in short-term debt at a lower cost, in a further indication that investors are less fearful over the state of the country's public finances.
The Treasury said it sold €3.85 billion in 12-month bills at an average interest rate of 1.36%, compared with 1.55% in the last such auction on February 12.
It also sold a little under €2 billion worth of six-month bills at 0.79%, compared with 0.86% last month. Demand was more than double the amount offered.
Spain's borrowing rates have dropped in recent months, due in part to the government's deficit-reduction programme and waning fears of the need for a bailout.
But the country remains in recession and has an unemployment rate of 26%.
