Baku, Azerbaijan, Dec. 21
By Anvar Mammadov – Trend:
The amount of short-term loans issued under bonds of Azerbaijan’s state oil company SOCAR through Repo operations may reach 120 million manats in 2018, director of SOCAR’s Investments and Operations Department Elkhan Hasanov told reporters in Baku Dec. 21.
Repo operations with SOCAR’s bonds have been carried out since November 10, 2017. Market maker for those bonds is PSG Kapital investment company. Thus, holders of SOCAR’s bonds can receive short-term loans through Repo transactions worth up to 95 percent of the bond value. The first such deal was concluded on December 1, 2017.
"The total amount of the issued loans has reached 5 million manat since the Repo operations with SOCAR’s bonds were carried out," Hasanov said. “Loan funds are issued at an annual interest rate of 3.5 percent.”
The first issue of SOCAR’s bonds was carried out in September 2016 in the amount of $100 million with a circulation period of five years and an annual yield of five percent. The nominal value of each bond is $1,000.