(AUSTIN) — Texas Comptroller Glenn Hegar announced today’s sale of $7.2 billion in Texas Tax and Revenue Anticipation Notes (TRAN) received a net interest rate of 1.84 percent.
“The tremendous demand for these notes is directly related to Texas’ conservative cash management and solid fiscal policies, which allowed the state to earn the highest possible short-term ratings ahead of this sale,” Hegar said. “With bids totaling nearly four times the amount offered, it’s clear the market is confident that Texas remains a solid investment.”
The Comptroller’s office received 65 bids worth $27.4 billion, 3.8 times the amount offered for sale. Money from the sale of TRAN is used to help fund expenditures such as public-school payments made early in the fiscal year before the arrival of tax revenues later in the year.
The $7.2 billion in notes from today’s sale will be repaid on Aug. 29, 2019.