Čaputová is saving Slovakia money
The state debt agency Ardal responded to the positive market sentiment following Zuzana Čaputová’s victory in the presidential election (the Financial Times’ cover page featured Čaputová’s photo) by holding an unplanned auction of 11-year bonds. The current government is sending negative fiscal signals and clearly has abandoned its plan for a balanced budget this year and fiscal surplus in 2020, but markets see Čaputová’s election as a signal of victory for more fiscally responsible parties in the 2020 general election. In March, the government sold 12-year bonds with an interest rate of 0.97%, while last week, it succeeded in selling €1bn in bonds with a coupon rate of just 0.78%. Thus, Čaputová is already saving Slovakia money.