Financial Markets

Domestic AUD Information Memorandum

This Information Memorandum relates to an Australian Dollar medium term bond programme established by SAFA under which medium term bonds denominated in Australian dollars may be issued by the Issuer from time to time.

The Bonds will be issued with the benefit of a guarantee from the Treasurer of the State of South Australia pursuant to Section 15(1) of the Government Financing Authority Act 1982 (SA).

For more information see:

Domestic AUD Information Memorandum 2023

Domestic AUD Information Memorandum 2020

Domestic AUD Information Memorandum 2015

AUD Commercial Paper Information Memorandum

FY 2023-24 Long-Term Issuance to date (MYBR revised requirement $4,531m)

Month	Coupon	Maturity	Volume $'m	Capital Amt $'m	Method
Jul-23	1.75%	24 May 2034	500	373.2	Public Tender
Jul-23	2.25%	24 May 2040	3.8	2.5	Private Tap
Jul-23	1.75%	24 May 2032	440	351.2	Tender
Aug-23	2.25%	24 May 2024	-500	-490.4	Syndicated Tap
Aug-23	AONIA FRN	22 Jun 2029	1,042	1,042.0	Syndication
Aug-23	2.25%	24 May 2040	45	30.2	Private Tap
Sep-23	2.25%	24 May 2040	30	19.2	Private Tap
Oct-23	4.75%	24 May 2038	1,000	887.0	Syndication
Total (excl. buy backs)			3,060.8	2,705.2

Fixed and Floating Rate Term Outstandings as at

31 December 2023

Coupon %	Maturity Date	Outstanding $'m	Change $’m
2.25	15 August 2024	2,128	Nil
2.75	16 April 2025	1,250	Nil
AONIA FRN	10 June 2025	995	Nil
3.00	20 July 2026	3,540	Nil
AONIA FRN	15 June 2027	1,480	Nil
3.00	20 September 2027	1,500	Nil
3.00	24 May 2028	4,040	Nil
AONIA FRN	22 June 2029	1,042	Nil
2.75	24 May 2030	3,865	Nil
1.75	24 May 2032	3,750	Nil
1.75	24 May 2034	2,500	Nil
2.00	23 May 2036	2,000	Nil
4.75	24 May 2038	2,000	Nil
2.25	24 May 2040	1,132	Nil
Total		31,222	Nil

For further information on these SAFA services, please contact 08 8429 0416.

Short Term Funding

Outstandings as at 31 December 2023

AUD Commercial Paper Information Memorandum

Promissory Notes (A$m)	3,165
Short Dated AONIA FRN (A$m)	0
Total Short Term Issuance excl. ECP (A$m)	3,165

SAFA Inscribed Stock Dealer Panel

Australia and New Zealand Banking Group Limited
Barrenjoey Markets Pty Limited
Citigroup Global Markets Australia Limited
Commonwealth Bank of Australia
Deutsche Bank AG, Sydney Branch
J.P. Morgan Securities Australia Limited
Merrill Lynch (Australia) Futures Limited
National Australia Bank Limited
Nomura International plc
RBC Capital Markets
The Hongkong and Shanghai Banking Corporation Limited, Sydney Branch
Toronto-Dominion (South East Asia) Limited
UBS AG, Australia Branch
Westpac Banking Corporation

For further information please contact SAFA’s Director Treasury Services.

Euro Commercial Paper Program Panel

Barclays
BofA Securities
Citigroup Global Markets Limited
Commonwealth Bank of Australia
ING
National Australia Bank Limited, Hong Kong Branch
RBC Capital Markets
The Toronto-Dominion Bank, London Branch
UBS Investment Bank

Euro Commercial Paper

Outstandings as at 31 December 2023

Currency	Outstanding ($m)
AUD	0
USD	0
EUR	0

Euro Commercial Information Paper

On 4 June 2019 SAFA launched a new transaction for a 1 year AONIA Linked FRN with UBS as the Arranger and Sole Lead Manager, and IHS Markit as the Calculation Agent.

The Term Sheet for the issue can be found here. (115KB PDF)

History

First issuance - On 4 June 2019 SAFA launched a new transaction for a 1 year AONIA Linked FRN with UBS as the Arranger and Sole Lead Manager, and IHS Markit as the Calculation Agent.

Second issuance - On 16 December 2019 SAFA accessed primary markets for another 1yr AONIA transaction.

Third issuance - Between 30 March and 2 April SAFA accessed primary markets for a 3^rd 1yr AONIA transaction.

As of 31 December 2021 SAFA have issued over $4 billion of AONIA linked FRNs.

Market Consultation

SAFA, in conjunction with IHS Markit and UBS, conducted a series of market consultations regarding the proposed methodology.

Information regarding the coupon calculation methodology and product conventions can be found here. (1.33MB PDF)

An example of market pricing model can be found here. (269KB XLS)

On 2 April 2019, Standard & Poor's published an article “AONIA As An Alternative to One-Month BBSW In Australian Structured Finance Transactions” (119KB PDF) where they recommended using AONIA as an alternative interest rate benchmark.

On 19 March 2019, the Reserve Bank of Australia (RBA) made specific remarks regarding their expectation of some corresponding migration away from BBSW towards the cash rate, particularly for products or issuers where it made sense to reference a risk-free rate instead of a credit-based benchmark. SAFA’s intentions were in particular noted in this regard.

For further information please contact SAFA’s Director Treasury Services.