MARCH 2010 No 4 / 2010

> In March the interbank money market volume remains

unchanged, holding the interest rates levels;

> Continuing of the depreciation of the BGN exchange

rate against the US dollar, but at a slower pace

compared to February; on the local Forex market

continuing of the moderate increase of the traded EUR

volumes between the BNB and the banks

> The trade in warrants starts on the BSE-Sofia in March

DEBT MARKET

Benchmark yield curves in the euro area 04.03.2010 and 06.04.2010

0

1

2

3

4

5

6

7

o/ndepo

1wdepo

1mdepo

3m depo

12m bill

3ybond

5ybond

7ybond

10ybond

instrument

annu

al y

ield

(%)

04.03.2010

06.04.2010

Benchmark yield curves in Bulgaria 04.03.2010 and 06.04.2010

0

1

2

3

4

5

6

7

o/ndepo

1wdepo

1mdepo

3m depo

12m bill

3ybond

5ybond

7ybond

10ybond

instrument

annu

al y

ield

(%)

04.03.2010

06.04.2010

Bulgaria and euro area benchmark yield curves 06.04.2010

0

1

2

3

4

5

6

7

o/ndepo

1wdepo

1mdepo

3m depo

12m bill

3ybond

5ybond

7ybond

10ybond

instrument

annu

al y

ield

(%)

Bulgaria

euro area

2

Middle of Sofibid and Sofibor

Yields on EUR-denominated govt securities in Bulgaria and on the euro area curve 06.04.2010

0

1

2

3

4

5

6

7

3m d

epo

12m b

ill

2y bo

nd

3y bo

nd

4y bo

nd

5y bo

nd

6y bo

nd

7y bo

nd

8y bo

nd

9y bo

nd

10y b

ond

15y b

ond

instrument

annu

al y

ield

(%)

BG domestic

BG global

euro area

SOFIBOR and 3M T-bill issuance, January - March 2010 (%)

0

0.5

1

1.5

2

2.5

3

3.5

4

4.5

5

04.01

09.01

14.01

19.01

24.01

29.01

03.02

08.02

13.02

18.02

23.02

3M SOFIBID 3M SOFIBOR 3M T-bill LEONIA BIR

Vladimir Tsonchev

(+359 2) 9145 1712 1. MONEY MARKET

In March the money market slightly increases volume

compared to February, and the interest rates uphold the

record low levels proving the sound liquidity in the banking

system.

3

Interbank Money Market, volumes (BGN mln)

0

2000

4000

6000

January 2010 February 2010 March 2010

deposit deals repo deals

In March the interbank money market monthly volume

increases by 1.7 per cent above February to BGN 5021.7

million, resulting from a minimal 0.2 per cent rise in the

deposit lending deals volume to BGN 4347.1 million, and a

12.0 per cent rise in the repo deals volume to BGN 674.7

million.

The total monthly volume of term transactions in Euromoney

market dealing decreases in March compared to February.

The decrease in the depo deals volume is by 3.3 per cent to

BGN 5397.3 million, and in the repo deals volume by 13.2

per cent to BGN 161.0 million.

Interbank Euromoney Market, volumes (BGN equivalent in mln )

0

2000

4000

6000

EUR EUR EUR USD USD USD Other Other Other

January2010

February2010

March2010

January2010

February2010

March2010

January2010

February2010

March2010

deposit deals repo deals

The average daily excess reserves in March decrease to BGN

98211 thousand after BGN 190237 thousand in February

(excess reserves are calculated taking into account a

4

calendar month, and not the actual maintenance period �

form the 4th of each month till the 3rd of the next). In 11

calendar days altogether (from 1st till 4th, from 12th till 15th,

and from 19th till 21st, including the holidays) of the month

there is relative resource shortage (negative excess

reserves).

Interbank money market and excess reserves, March 2010 (BGN mln)

-600

-400

-200

0

200

400

600

800

1000

1200

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

money market excess reserves

Liquidity in the banking system is influenced every month by

monetary flows through government securities (bills and

bonds of the Ministry of Finance), and in March there is a net

outflow from banks of BGN 94.8 million as a decrease in

resources. Pension transfers lead to an increase of resources

by BGN 700.0 million.

Deposit Deals, March 2010 (BGN mln)

0

100

200

300

400

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

all deposit deals unsecured of which overnight secured

5

1.1. Interbank market: deposit lending and repo-

transactions

Deposit lending maintains a prevailing share in the interbank

money market volume, which for March amounts to 86.6 per

cent of the interbank transactions, after 87.8 per cent in

February. It is banks� main tool for managing current daily

liquidity.

Unsecured market

In March term unsecured deposit lending between market

participants amounts to BGN 4347.1 million, and 82.8 per

cent of this (BGN 3599.5 million) are overnight deals,

compared to 78.0 per cent share (BGN 3380.2 million) in

February.

Unsecured Deposit Market, March 2010 (BGN mln)

0

100

200

300

400

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

overnight other

Overnight Market Rates, March 2010

0.00

0.20

0.40

01.03

04.03

08.03

10.03

12.03

16.03

18.03

22.03

24.03

26.03

30.03

Effective overnight rate - unsecured deals SOFIBID ON SOFIBOR ON

6

The monthly average for the overnight interest rate on

unsecured deposit lending is an annual 0.17%, 0.01

percentage points lower than in February, 0.18%.

The monthly average of the LEONIA, a reference rate based

on unsecured overnight deposit lending by 12 banks,

decreases from 0.18% in February to 0.17% in March. Hence

the size of the BNB base interest rate for April 2010 is

0.17%.

LEONIA keeps the narrow band of 0.16-0.18% throughout

the whole month, keeping the spread with the analogous

index reflecting the overnight levels of the eurozone

negative.

LEONIA / EONIA

0.00

0.20

0.40

0.60

0.80

1.00

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

LEONIA EONIA

The money market yield curve at the end of March remains

without any significant change compared to that in February.

The m one y m ark e t yiе ld curve

re fle cts theave rage value of

SOFIBIDand SOFIBOR

0.00

1.00

2.00

3.00

4.00

5.00

6.00

7.00

8.00

9.00

ON

SW 2W 3W 1M 2M 3M 4M 5M 6M 7M 8M 9M 10M

11M

12M

31 .03 .10

26.02 .10

7

Secured market

There is no secured deposit lending in March. The repo deals�

share is 13.4 per cent of the total transactions volume (BGN

674.7 million), after 12.2 per cent in February.

MARKETS:

value in millions of BGN

equivalent in millions of EUR

value in millions of EUR

equivalent in millions of BGN

value in millions of USD

equivalent in millions of BGN

equivalent in millions of EUR

equivalent in millions of BGN

equivalent in millions of EUR

TYPES OF DEALS:

unsecured deposit deals 4347.1 2222.6 2268.4 4436.6 659.3 950.7 486.1 10.8 5.5

secured deposit deals - - - - - - - - -

repo of Bulgarian govt securities* 674.7 345.0 80.7 157.8 2.2 3.2 1.6 - -

outright purchases of short-term BGN Bulgarian govt securities - - - - - - - - -

outright purchases of long-term** BGN Bulgarian govt securities* 49.5 25.3 - - - - - - -

outright purchases of long-term** forex Bulgarian govt securities* 0.0 0.0 2.3 4.5 - - - - -

* at market value; for repos - only the security purchase (money lending) leg** bonds of over 1 year in original maturity

Source: BNB, from commercial banks' daily reports

BULGARIAN INTERBANK MONEY MONEY MARKET AND EUROMONEY MARKET DEALS BETWEEN BULGARIAN BANKS, MARCH 2010 (in millions of the respective currencies)

interbank money market euromoney market deals between Bulgarian banks

deals in BGN deals in EUR deals in USD deals in other currencies

1.2. Outright purchases of securities on the

secondary market

On the interbank secondary market for government

securities, the market value of outright purchases in March

amounts to BGN 49.5 million (after BGN 92.5 million in

February), and all the deals are with longer than 12 months

securities. There are no short-term (with initial maturity less

than one year) government securities outstanding.

On the Euromarket in March the total volume of outright

purchases of government securities is BGN 4.4 million, after

BGN 3.2 million in February.

Outright deals in Bulgarian government securities, March 2010 (BGN mln)

2

8

10

12

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

6

4

0

BGN-denominated securities up to 12M BGN-denominated securities over 12Mforex-denominated securities

8

2. CAPITAL MARKET Boris Malinchev

(+359 2) 9145 1704

The following primary auctions of government securities were

carried out by the Bulgarian National Bank as agent of the

Ministry of Finance in January:

New batches of the 5Y and 10Y6M government bond issues

- on 15 March for a batch of the issue BG2030009117

(5Y treasury bonds) with maturity date 18 February

2014, at the amount of BGN 35 million and 4.45%

annual interest;

- on 24 March for another batch of the issue

BG2030009117 (5Y treasury bonds) with maturity date

18 February 2014, at the amount of BGN 35 million and

4.45% annual interest;

- on 29 March for a batch of the issue BG2040010212

(10Y and 6M treasury bonds) with maturity date 13 July

2020, at the amount of BGN 30 million and 5.00%

annual interest.

The monthly secondary market stock-exchange turnover of

corporate bonds increased with 41% in March amounting to

BGN 6.5 million (a daily average of BGN 0.3 million)

compared to BGN 4.6 million in February.

BSE transactions with bonds, March 2010 (date T; BGN mln)

0123456789

10

01.03

04.03

08.03

10.03

12.03

16.03

18.03

22.03

24.03

26.03

30.03

official off icial OTC unoff icial unoff icial OTC

9

The prices of EUR-denominated 2013 globals reached the

level of 111%, and of USD - denominated 2015 globals, rose

to the 118% mark.

On the secondary market the price of the compensation

instruments went up to the price of BGN 0.17 per item. The

compensation instruments market turnover increased slightly

amounting to BGN 0.8 million (a daily average of BGN 0.04

million) compared with BGN 0.5 million in February. Deals

concluded off-stock-exchange in March had insignificant

amount.

BSE transactions with compensatories, March 2010 (date T; BGN thousand)

0

100

200

300

400

500

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

unoff icial unoff icial OTC privatis. (comp)

10

ASSET MARKETS

BG40 and SOFIX

75

85

95

105

115

125

135

145

04.0

GROSS ASSETS:

Real estate

(National Statistical Institute � quarterly

data)

NET ASSETS:

equity 1

09.01

14.01

19.01

24.01

29.01

03.02

08.02

13.02

18.02

23.02

28.02

05.03

10.03

15.03

20.03

25.03

30.03

250

300

350

400

450

500

BG40 SOFIX (right scale)

Re a l Esta te Price s (BGN pe r sq. m .)

800820840860880900920940960980

1000

0 1 .0 1 .1 011 .0 1 .1 02 1 .0 1 .1 03 1 .0 1 .1 010 .0 2 .1 02 0 .02 .100 2 .0 3 .1 01 2 .0 3 .1 022 .03 .1 0

Gold (XAU/BGN)

1300

1350

1400

1450

1500

1550

1600

1650

1700

01.2010 02.2010 03.2010

Forex (USD/BGN)

1.20

1.25

1.30

1.35

1.40

1.45

1.50

1.55

1.60

01.2010 02.2010 03.2010

Commodities

Forex

11

Boris Malinchev (+359 2) 9145 1704

EQUITY CAPITAL (NET ASSETS)

BSE-SOFIA IPO MARKET (in millions of BGN) March 2010

Issued securities Equities Bonds Rights

Securities to be traded on: official market unofficial market official marketficial market icial market

DEALS: 0.0 0.0 0.0 0.0 0.0Source: BSE-Sofia daily reports

TRADE IN SECURITIES REGISTERED ON THE BSE-SOFIA: STOCK-EXCHANGE AND OTC TURNOVER (in millions of BGN) March 2010

Official Market of Equities

Unofficial Market of Equities

Market of compensation instruments

Market of Subscription Rights

Market of Collective Investment Schemes

(segments A,B) (segments A,B) municipal bonds

corporate bonds

municipal bonds

corporate bonds

of public companies

of non-public

companies

INSTRUMENTS AND DEALS:

BSE tradingTrade in primary instruments, 7.1 18.9 3.7 0 0 0.0 6.5 0.8 0.0 0.0 0 0.3of which: regular deals 7.1 18.9 3.7 0 0 0.0 6.5 0.8 0.0 0.0 - - privatis. market deals (cash) 0 0 - - - - - - - - 0

Privatis. market 0.3

(compensative)* 0 0 - - - - - - - - 0Trade in derivatives, 0.2of which: warrants 0.2INSTRUMENTS AND DEALS:

OTC trading

Trade in primary instruments (block, registration, repo, tender purchases, redemption, etc.) 3.3 4.3 1.8 0 0 0 0 0.0 0 0.3 - -Source: BSE-Sofia daily reports* Not included in the above totals

MARKETS BOND MARKETSMARKET OF SPECIAL

PURPOSE INVESTMENT COMPANIES

Official Market of Bonds Unofficial Market of Bonds

EQUITY MARKETS OTHER MARKETS Trade in equities not registered on the BSE-

Sofia

0.0

The Bulgarian Stock Exchange � Sofia (BSE-Sofia) monthly

turnover in March marked an increase of 32%, amounting to

BGN 29.7 million (a daily average of BGN 1.4 million),

compared to BGN 22.5 million in February. The turnover in

deals concluded off-stock-exchange (reported through the

stock-exchange platform) was BGN 9.4 million.

On 2 March

started the

trade in

warrants issued

by Enemona AD

on the unofficial

market of

equities of the

BSE-Sofia

BSE transactions with shares, March 2010 (date T; BGN mln)

-113579

111315

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

privatis.(BGN)

SIPC OTC

SIPC

unoff. OTC

unoff.

off icial OTC

off icial

12

The prices of the Bulgarian stock market during the month

were a little behind the slight upward tendency of the leading

world stock markets.

DAX, SOFIX and BET, March 2010

100015002000250030003500400045005000550060006500

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

100150200250300350400450500550600650

DAX BET SOFIX (right scale)

BG40, March 2010

80

90

100

110

120

130

140

01.03

04.03

08.03

10.03

12.03

16.03

18.03

22.03

24.03

26.03

30.03

13

Pension fund price indices, March 2010 (1 July 2004 BGN 1)

1.00

1.05

1.10

1.15

1.20

1.25

1.30

01.03

02.03

03.03

04.03

05.03

06.03

07.03

08.03

09.03

10.03

11.03

12.03

13.03

14.03

15.03

16.03

17.03

18.03

19.03

20.03

21.03

22.03

23.03

24.03

25.03

26.03

27.03

28.03

29.03

30.03

31.03

VOLIDEX PROFIDEX UNIDEX

Prices of the bank shares in Bulgaria, eurozone and emerging markets

50

5560

65

7075

80

85

9095

100

04.01

05.01

06.01

07.01

08.01

11.01

12.01

13.01

14.01

15.01

18.01

19.01

20.01

21.01

22.01

25.01

26.01

27.01

28.01

29.01

380

390

400

410

420

430

440

450

BANKSBSE

BANKSEMU

BANKSEM(rightscale)

Prices of the bank shares in Bulgaria, eurozone and emerging markets, January - March 2010

50

55

60

65

70

75

80

85

90

95

100

04.01 11.01 18.01 25.01 01.02 08.02 15.02 22.02 01.03 09.03 16.03 23.03 30.03225245265285305325345365385405425445

BANKSBSE

BANKSEMU

BANKSEM(rightscale)

BG40 and the share prices of Bulgarian banks on the BSE, March 2010

100.00101.00102.00103.00104.00105.00106.00107.00108.00109.00110.00111.00112.00113.00114.00115.00116.00117.00118.00119.00120.00

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

70.00

72.00

74.00

76.00

78.00

80.00

82.00

84.00

86.00

88.00

90.00

BG40

BANKSBSE(rightscale)

14

The prices of the banks listed on the BSE-Sofia followed in

general the fluctuation of the leading stock indices the SOFIX

and the BG-40 and moved in relative synchrony with the

share prices of the euro area and emerging markets banks.

There were no placements of shares on the IPO market of

the BSE-Sofia in March.

BSE primary market, March 2010 (date T; BGN thousand)

0

200

400

600

800

1000

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

shares rights/shares govt sec. bonds

Lubomir Tonev

(+359 2) 9145 1608

Plamen Petrunov

(+359 2) 9145 1610

3. FOREIGN EXCHANGE MARKET

During March the euro remains under pressure against the

US dollar and the other main currencies on the international

foreign exchange markets. The problems of the Greek public

finance and the growing worries about Portugal�s budget are

the main factors for the negative trend of the exchange rate

of the common european currency. The uncertainty about the

actions of the EU authorities regarding Greek fiscal problems

and its costly market financing leads to additional negative

pressure on the euro.

On 24 March the euro exchange rate reaches ten-month

minimum against the USD after the rating agency Fitch

lowers the rating of the Portugal to �АА-�, with negative

tendency.

The rise of the USD exchange rate against the euro on the

international foreign exchange markets leads to a decrease

of the exchange rate of the BGN against the US dollar. In

March the USD/BGN exchange rate moves between the

15

values of 1.42087 on 12 March and 1.46636 on 24 March.

The average USD exchange rate for the month is 1.44192 �

a rise of some 0.01 BGN compared to the previous month�s

value.

Daily BNB reference exchange rate for the USD,March 2010 (BGN per USD 1)

1.41

1.42

1.43

1.44

1.45

1.46

1.47

01.03

02.03

03.03

04.03

05.03

06.03

07.03

08.0309

.0310

.0311

.0312

.0313

.0314

.0315

.0316

.0317

.0318

.0319

.0320

.0321

.0322

.0323

.0324

.0325

.0326

.0327

.0328

.0329

.0330

.0331

.03

Daily USD turnover and exchange rates of banks, March 2010

0

5

10

15

20

25

30

35

40

45

01.03

02.03

04.03

05.03

08.03

09.03

10.03

11.03

12.03

15.03

16.03

17.03

18.03

19.03

22.03

23.03

24.03

25.03

26.03

29.03

30.03

31.03

BGN per

USD 1US

D m

ln

1.40

1.42

1.44

1.46

1.48

traded between banks bought from customerssold to customers average rate for purchases from customersaverage rate for sales to customers average interbank rate

The total turnover on the local foreign exchange spot-market

for March is EUR 35486.0 million with an average daily

turnover of EUR 1613.0 million.

16

In the trade only between the banks (without the

participation of the BNB) the amount of traded foreign

exchange is equal to EUR 63.2 million, which is returning to

the volumes from January.

Foreign exchange trading between banks, March 2009 to March 2010 (in mln of EUR)

108.5

78.4

52.3

67.0

75.0

78.3

64.3

44.2

49.7

73.9

63.7

242.1

63.2

March-09

April-09

May-09

June-09

July-09

August-09

September-09

October-09

November-09

December-09

January-10

February-10

March-10

Monthly EUR trading between BNB and banks,March 2009 to March 2010 (EUR mln)

10180

10033

8957

11537

10746

9712

8373

8745

8631

7337

5864

7065

7973

-10444

-10209

-9034

-11517

-10841

-9686

-8338

-8624

-8498

-7173

-6133

-7411

-8056

-264

-77

20

-95

26

35

121

164

-269

-346

-83

133

-176

March-09

April-09

May-09

June-09

July-09

August-09

September-09

October-09

November-09

December-09

January-10

February-10

March-10

bought from banks sold to banks net

17

EUR exchange rate, March 2010 (BGN per EUR 1)

1.91182

1.95583

1.99984

01.03

02.0303

.0304

.0305

.0306

.0307

.0308

.0309

.0310

.0311

.0312

.0313

.0314

.0315

.0316

.0317

.0318

.0319

.0320

.0321

.0322

.0323

.0324

.0325

.0326

.0327

.0328

.0329

.0330

.0331

.03

BNB interbank banks from customers banks to customers

During March the BNB has a negative balance in the trade

with the banks, but more than four times less compared to

February, equal to EUR 83.3 million. The central bank

purchases from banks EUR 7973.1 million and sells to them

EUR 8056.4 million.

In the deals with budgetary organisations the BNB purchases

foreign exchange amounting to EUR 76.2 million and the

sales equal to EUR 21.2 million.

Daily EUR turnover of banks, March 2010 (EUR mln)

0

10

20

30

40

50

60

70

80

90

100

01.03

02.03

03.03

04.03

05.03

06.03

07.03

08.03

09.03

10.03

11.03

12.03

13.03

14.03

15.03

16.03

17.03

18.03

19.03

20.03

21.03

22.03

23.03

24.03

25.03

26.03

27.03

28.03

29.03

30.03

31.03

traded between banks bought from customers sold to customers

18

Daily EUR trading between BNB and banks, March 2010 (EUR mln)

-600

-400

-200

0

200

400

600

01.03

02.03

03.03

04.03

05.03

06.03

07.03

08.03

09.03

10.03

11.03

12.03

13.03

14.03

15.03

16.03

17.03

18.03

19.03

20.03

21.03

22.03

23.03

24.03

25.03

26.03

27.03

28.03

29.03

30.03

31.03

spot value - net tommorow value same day value

During March the total turnover between the banks and their

final clients is EUR 3139.6 million, which is a little more than

the previous month�s value. The banks purchase foreign

exchange equal to EUR 1522.9 million and sell EUR 1616.6

million.

Financial institutions trading in foreign exchange on the

territory of the state purchase foreign exchange equal to EUR

61.1 million and sell foreign currencies equal to EUR 61.2

million.

Foreign exchange trading of banks with customers - total, March 2010 (in mln of EUR)

-200

-150

-100

-50

0

50

100

150

200

01.03

02.03

03.03

04.03

05.03

06.03

07.03

08.03

09.03

10.03

11.03

12.03

13.03

14.03

15.03

16.03

17.03

18.03

19.03

20.03

21.03

22.03

23.03

24.03

25.03

26.03

27.03

28.03

29.03

30.03

31.03

bought from customers sold to customers net

19

Foreign exchange trading of banks with nonresidents, March 2010 (in mln of EUR)

-200

-150

-100

-50

0

50

100

150

200

01.03

02.03

03.03

04.03

05.03

06.03

07.03

08.03

09.03

10.03

11.03

12.03

13.03

14.03

15.03

16.03

17.03

18.03

19.03

20.03

21.03

22.03

23.03

24.03

25.03

26.03

27.03

28.03

29.03

30.03

31.03

bought from nonresidents sold to nonresidents net

Foreign exchange market March 2010(in mln of EUR)

Purchases Sales BalanceInterbank market (commercial banks) 63.2 63.2 0.0(Commercial) banks with customers 1522.9 1616.6 -93.7 - of which: with nonresidents 71.4 106.4 -35.0

BNB total 8049.3 8079.4 -30.1 BNB with banks 7973.1 8056.4 -83.3 of which: *with banks - SPOT 1524.4 6646.4 -5122.0 *with banks - TOM 346.0 0.0 346.0 *with banks - TODAY 6102.7 1410.0 4692.7 *with banks - NOTES 0.0 0.0 0.0 BNB transactions with budgetary organisations 76.1 21.2 54.9 BNB notes operations at counters 0.1 1.8 -1.7

Source: BNB, from banks’ and BNB’s daily reports

20

0%10%20%30%40%50%60%70%80%90%

100%

1 2 3

1-interbank (without BNB); 2-banks with customers; 3-forex trading of financial institutions

Currency structure of forex trading for some participants, March 2010

OthersUSDEUR

Forex swaps and forwards in EUR terms (estimate)

FX swap and forward transactions - banks with final customers (in mln of EUR)Purchases Sales Balance

March 2010 1282.0 1391.3 -109.3 - of which: with nonresidents 1193.2 1303.4 -110.2FX structure (percentige)EUR 95.2 95.3Others 4.8 4.7

Interbank FX swap and forward transactions banks (in mln of EUR)Purchases Sales Balance

March 2010 0.0 0.0 0.0FX structure (percentige)EUR - -Others - -

The figures for foreign exchange swap deals include both the sales of foreign currecies for BGN and the subsequent purchase operations.

Source: BNB, from banks’ daily reports

21

TENDENCES

Short-term expectations:

� Money market rates as well as traded volumes to remain

low;

� the SOFIX to continue with its small fluctuations around the

430 level;

� USD/BGN to move within 1.46 - 1.43.

22