Kazakh Finance Ministry issues Eurobond worth 1 150 million euros
The Kazakh Government represented by the Ministry of Finance has successfully issued Eurobonds in excess of 1 150 million euros, Strategy2050.kz informs with reference to the Ministry of Finance’s press service.
The issuance was made in two tranches at nominal cost: 500 million euros with a period of circulation of 7 years and the coupon rate at 0.6% and 650 million euros with a period of circulation of 15 years and the coupon rate at 1.5%.
The costs of borrowing Eurobonds was at a record low in Kazakhstan and the CIS. The coupon at 0.6% was set for the 7-year Eurobonds, which is the lowest ever set by a sovereign from developing countries rated BBB.
The 15-year tranche has become the longest euro-dominated issuance ever issued from the CIS region.
This transaction enabled Kazakhstan to diversify the investor base through attracting euro-orientated investors.
As well as the issuance of the 15-year tranche made it possible for Kazakhstan to lengthen the euro yield curve and strengthen its authority in the global capital markets.
