NSW Can Stay Away From Bond Markets for 6 Months, Treasurer Says

New South Wales, Australia’s second-biggest state borrower, can pay out a A$6 billion ($6.2 billion) security maturing in May from current resources and is able to avoid returning to the bond market for as long as six months, Treasurer Mike Baird said.

The recent increase in state government bond yields relative to federal government debt is not specific to New South Wales and reflects “an inability for the financial markets intermediaries to warehouse risk as they normally would,” Baird said in an e-mailed response to questions.