No.Does that not force their hands in the bond auctions
Firstly, they wouldn’t have to pay 3% on a 3-year Cert to match PTSB, bearing in mind that there’s no DIRT on State savings products. If they offered, say, 2.5%, that would still be well below the current yield on 3-year government bonds.
Secondly, there are restrictions on the amount that can be invested in any particular State savings product, which effectively rules out institutional investors.