Asian Development Bank issues first tenge bonds
Baku, Azerbaijan, Jan. 25
By Rashid Shirinov – Trend:
Asian Development Bank (ADB) has attracted 30.4 billion tenge (over $80 million) through two new bond issues in the national currency in Kazakhstan, Trend reports referring to the Kazakh media.
The final maturity of the bonds is five and seven years with the possibility of early redemption in the third and fifth years. The bonds were issued with a floating interest rate pegged to the Kazakhstan Consumer Price Index.
"This is the first time that ADB has applied such a structure both in its main borrowings and with regards to national currency. This transaction is a landmark in ADB's strategy to provide solutions for financing in local currency," the bank noted.
The ADB said it has achieved numerous results with these bond issues in terms of the innovative structure, as well as their impact on the development of the domestic capital market and reducing currency risk for the ADB borrower.
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