Financing of Wallonia

Last overview of Wallonia

                   (Key figures)

The Finance Directorate is responsible for managing the treasury cycle, managing and servicing the direct and indirect debt, and monitoring the guaranteed debt, in accordance with the advice issued by the regional Treasury Council and the Joint Treasury Council, and the decisions taken by the Minister in charge of Budget, Public Service and Administrative Simplification.

One of the objectives of the Treasury department is to ensure that Wallonia has the foreseen financial means at its disposal.

Rating

On 15 march 2017, the rating agency Moody’s published a new study about Wallonia in which its credit ratings :

  • long-term credit rating (senior unsecured) : A2
  • short-term credit rating : (P) Prime-1
  • outlook : stable

Local Programmes (MTN)

Wallonia has set up two MTN (Medium Term Notes) programmes concluded with the banks BNP Paribas Fortis and Belfius Bank. Wallonia uses both programmes to issue fixed rate notes, floating rate notes or structured notes with or without underlying hedging instruments.

EMTN Programme

On 2 may 2012, Wallonia has set up an EMTN (Euro Medium Term Note) programme with BNP Paribas Fortis and ING Bank. Beside these two arrangers, the dealers on this programme are Barclays, Belfius Bank, CBC Bank, Deutsche Bank, HSBC France and KBC Bank.

This programme, which was updated on 27 June 2017, allows Wallonia to increase its visibility on the financial markets and to broaden its investor base through a standard European documentation. Furthermore it offers Wallonia the possibility of a public placement (benchmark) aimed at institutional investors.

The table below summarises the size of the different financing programmes of Wallonia.

 

Bank

Amount

Issued amount at 31/12/2017

Programme MTN

Belfius

€2.500.000.000

€1.196.250.000

Programme MTN

BNP Paribas Fortis

€1.250.000.000

€595.000.000

Programme EMTN

BNP Paribas Fortis

ING

€5.000.000.000

€2.940.000.000

TOTAL (in notional)

€8.750.000.000

€4.731.250.000

Cashier

Since 1st January 1991, Wallonia centralises its cash position at its own cashier. The cashier ensures, among others, the execution of all operations and the daily consolidation of all accounts opened by Wallonia. Furthermore, since 1st January 2013 and until 31 December 2017, Wallonia disposes of a liquidity facility of 3.25€ billions, granted by its cashier (Belfius Bank).

On 31 May 2017, the Walloon government agreed to extend, for the next 5 years (starting 1st January 2018), the cashier contract signed with Belfius Banque on 17 July 2012; the 17 July 2012 amendment plans the upholding of a 3.25€ billions liquidity facility, consisting of a classic cashier line of 2.75€ billions and the transformation of the actual balance line (3.25€ billions) into firm commitment.

Below you can download the following documents: the annual public debt reports published by Wallonia, the documentation of the financing programmes of Wallonia, the reports on the expected results of the execution of the budgets published by the Court of Auditors and the advice and recommendations issued by the High Council of Finance.

For all additional information, you can contact the Finance Directorate at the following email address: financement@spw.wallonie.be

Useful link :

Related Publications :

MTN Programs :

CSF:

EMTN :

Revenues-Expenditures :

Others :