Since then, a number of Irish private and semi-state companies already availed of the opportunity to access bond markets, locking in lower interest rates and benefiting from the opportunity to retire more expensive legacy debt. In addition to these impacts on the banking system, households and SMEs, non-standard monetary policy has clearly influenced developments in government bond markets.
Over recent months, yields on Irish government bonds continued their downward trajectory across the curve, notably following the expansion of the asset purchase programme to include purchases of public sector bonds in January last year. This also reflects the continued improvement in the public finances.15 Yesterday, for example the yield on the 10 year Irish government bond was 0.34 per cent.