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Re-lending


Government companies
Government Debt Management is responsible for government re-lending to a number of companies:

  • CPH City and Port Development
  • Danish Broadcasting Corporation
  • Danish North Sea Fund
  • EKF (The Danish export credit agency)
  • Energinet.dk
  • Femern Belt
  • Femern Landworks
  • Statens Serum Institut
  • Sund & Bælt Holding
  • The Copenhagen Metro Company
  • The Financial Stability Company
  • The Great Belt Bridge
  • Øresund Landworks

Government Debt Management determines a list of government loan types in which re-lending is possible. The re-lending list contains government bullet loans in the maturity segments between 2 and 10 years.

When a company requests re-lending in a government security, Government Debt Management determines the price of the loan on the basis of the current market conditions. The proceeds of the loan are paid from the central government's account. The derived borrowing requirement is financed via on-the-run issues.

Danish Ship Finance

In 2003 Danish Ship Finance gained access to a special re-lending facility in connection with the adoption by the Folketing (Parliament) of a temporary operating subsidy for Danish shipyards.

Danish Ship Finance has access to re-lending in kroner or dollars, structured as 12-year serial or annuity loans with semi-annual payments. The central government transacts currency swaps between kroner and dollars in connection with the re-lending in dollars so that it does not have any exchange-rate exposure on this re-lending.






Last update: 02/29/2012

 
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DK - 1093
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Denmark
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