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Short-term commercial paper borrowing ramped up by Kiwibank

Bonds
Short-term commercial paper borrowing ramped up by Kiwibank
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By Gareth Vaughan

Kiwibank ramped up the use of overseas short-term commercial paper funding in recent months, with borrowings via its commercial paper facility reaching almost $1 billion at the end of 2013.

It had $903 million of short-term commercial paper debt at December 31. That was up $516 million from $387 million at June 30 last year, its previous disclosure.

Kiwibank now has comfortably more than $1 billion borrowed from offshore. Last year Kiwibank did its first covered bond issue, borrowing CHF150 million via an issue that matures in December 2020. And in 2009 Kiwibank raised A$250 million in a five-year Australian bond issue in its first foray into the international wholesale bond market.

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