MILAN—Italy paid less in an auction of five-year bonds than it did just a month ago, as the debt-laden country managed to raise euro6.2 billion ($8.5 billion) from a batch of medium- and long-term issues.
The Italian Treasury said it raised euro3.5 billion in five-year bonds at a rate of 5.32 percent. That was down on the 5.6 percent rate it had to pay last month. It raised the balance through three other long-dated issues.
Italy's actual borrowing costs in the secondary markets have spiked ahead of a confidence vote in the government of Prime Minister Silvio Berlusconi on Friday. If the vote fails, Berlusconi must step down.
Italy has the second highest debts in the eurozone as a percentage of national income. It's also seen its credit rating downgraded over the past few months.
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