Benchmark Securities

A benchmark security is the latest issue of the Albanian government securities with a given maturity. The benchmark securities auction may be periodically re-opened to achieve an amount that is pre-determined by the Ministry of Finance and Economy.  This security is used as a proxy for evaluating other government securities with comparable maturity, issue size and coupon rate. 

Overall, the benchmark securities have higher liquidity than common issues, due to the obligation of Market Makers to quote purchasing/selling prices in the secondary market according to the conditions set out in the contract agreed with the Ministry of Finance and Economy.