05 June 2009

Certificates of deposit

Central Bank of Iceland certificates of deposit (series SI 09 0624) are scheduled to mature on June 24, 2009. Outstanding CDs in the series total approximately 67 b.kr. The series was originally issued in order to increase the supply of short-term instruments on the market. Since the maturing CDs were issued, however, the Treasury has greatly expanded its issuance of Treasury bills and Treasury notes. As a result, there is less reason for the Central Bank to issue short-term instruments. The Central Bank will not renew the CD series on June 24.

Further information can be obtained from Gerdur Ísberg, Deputy Director of the International and Market Operations Department of the Central Bank of Iceland, at tel: +354 569-9600.