SANTIAGO Jan 17 Chile's government said on
Friday it would issue up to $6 billion of debt in the local
market in 2014.
The debt will include five-, 10- and 20-year bonds in
Chilean pesos and 10-, 20- and 30-year bonds in inflation-linked
Unidades de Fomento (UF).
The bonds will be placed via monthly auctions that will
begin in March, the finance ministry said on Friday, adding that
the plans could change depending on market conditions.
For the first time, Chile also plans to issue short-term
treasury bills, with the timetable and amounts to be announced
at a later date.
The central bank said last week that it did not plan to
issue any debt this year.
The finance ministry said on Friday that for tax purposes
the bonds would be treated for the first time under new fixed
The 'Ley Unica de Fondos' employs tax exemptions to make
Chile more attractive to foreign investors.
The new rules were approved by Congress at the end of 2013,
and will come into practice once various administrative tasks
had been carried out, at a date to be announced soon, the