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Bundesbank: first 2011 bond issue successful

Germany successfully placed its first bond issue of 2011, the Bundesbank said on Wednesday, reaffirming its safe haven status after several operations fell short late last year.

Published: 5 January 2011 16:23 CET

Bundesbank: first 2011 bond issue successful

Photo: DPA

The central bank said it took in €3.916 billion ($5.17 billion) in exchange for benchmark 10-year Bunds at an average rate or yield of 2.87 percent after receiving bids worth a total of €6.29 billion.

Late last year, three German issues of various maturities were under subscribed amid heightened tension on sovereign debt markets owing to problems in Ireland.

Investors are also wary of debt issued by Belgium and Portugal, and had begun to worry that Germany might have to stump up more cash to help bail out eurozone countries with weak finances.

Spokesman Jörg Müller from the German Finance Agency, which manages debt for Europe’s biggest economy, said: “Today’s result constitutes a robust start to 2011.”

Germany plans to issue bonds and shorter-term treasury securities worth a total of €302 billion this year, including €54 billion worth of Bunds.

In Paris meanwhile, HSBC bank told news agency AFP that the first issue by the eurozone of bonds to fund its bailout of Ireland attracted demand of nearly four times the offer, with €19 billion bid for €5 billion worth of bonds.

AFP/mry

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Twint app can be installed on a mobile phone.

“Twinting” money with a smartphone is easy and convenient. Photo by Andrea Piacquadio from Pexels

In Switzerland, the word “Twint” is used both as a noun and a verb.

As a noun, it describes the mobile application which allows you to pay for various goods and services practically everywhere in the country.

As a verb, (“to twint”), it means to send someone money, or receive it, via the same app.

So what exactly is Twint?

Simply put, it is digital cash (not to be confused with bitcoin, which is digital currency) that was first introduced in Switzerland in 2014 and has become very popular since then.

Twint logo. Image by Twint.ch

People like it because it is an easy and quick way to make instantaneous payments, especially in situations when credit cards or physical cash can’t be used.

A big part of its convenience is that it can be used at cash registers, vending machines and parking meters, as well as in online shops — pretty much everywhere in Switzerland, even in places that don’t accept credit cards.

The only similar mode of payment would be your maestro debit card issued by your bank.

This video explains exactly how the process works.

Another advantage of Twint is that you can use it to send money to someone else’s mobile phone — as long as they also have Twint. And you can receive money the same way.

And there are no fees or charges for this service.

How does Twint work?

Anyone can use Twint, but you need a Swiss bank account or a credit card and, of course, a smartphone.

According to Twint website, you need a smartphone with either an iOS (from version 12.2 and upwards) or Android (from version 7 and upwards) operating system and Bluetooth capability (from version 4.0 and upwards).

“It is generally not possible for Twint to be used on Apple devices with an operating system older than “iOS 12.2” or on Android devices with an operating system older than “Android 7”. On Android devices without access to the Google Play Store (e.g. on certain HUAWEI models), the use of Twint app is also not possible”.

But If you have a compatible phone, installing Twint is easy.

Swiss banks offer their own version of the app, and you can download it directly from your bank’s website.

Then, when you use Twint to make a payment, the amount is debited directly from your bank account or credit card.

By the same token, if you receive payment from another Twint user, the money is automatically deposited in your account.

And you are not limited to just one Twint app.

If you have accounts is several banks, or have more than one credit card, you can install and use all of them.

READ MORE: How to open a bank account in Switzerland

Can Twint be used to make payments and receive money from abroad?

For the moment, Twint can be used solely in Switzerland and payments can be made only in Swiss francs – although this may change in future.

“We are, however, working closely with providers in other countries to develop an international and multi-currency solution”, according to Twint website.

You can find more information about Twint here.

READ MORE: Which bank is best for Americans in Switzerland?

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