The province has placed a bond in the European capital market. This is the first transaction with the London Stock Exchange since the launch of the European borrowing program which provided an option to issue bonds beyond the existing domestic Canadian market.

This first transaction was placed on Oct. 4, at a size of 50 million euros (75 million Canadian dollars). The yield is 3.067 per cent and is due December 4, 2034. A sinking fund is attached for repayment to the investor when due.

In a statement, Deputy Premier and Minister of Finance Siobhan Coady said: “We said we would only issue bonds in Europe if it was beneficial for the province to do so. We have met this objective. We have broadened our base of investors and consequently brought borrowing costs down by almost a half million dollars in this one placement.”