...

Georgian budget to save funds thanks to low-interest rate on new Eurobonds

Finance Materials 16 April 2021 20:28 (UTC +04:00)
Georgian budget to save funds thanks to low-interest rate on new Eurobonds

BAKU, Azerbaijan, April 16

Tamilla Mammadova – Trend:

Georgian budget will save some 350 million lari ($101.9 million) by the low-interest rate on new Eurobonds, said Finance Minister Lasha Khutsishvili, Trend reports via Georgian media.

The Government of Georgia issued Eurobonds worth $500 million, which coupon rate amounted to 2.75 percent.

“New Eurobonds will significantly lower interest rate compared to Eurobonds issued in 2011, which amounted to 6.875 percent. The interest rate on new Eurobonds is 2.5 times lower," he said.

According to him, in this case, specific budget savings are also important.

"In particular, the budget will save about 350 million lari over the next 5 years due to the lower interest rate. Georgia's sovereign rating, which improved in the recent years, is one of the main factors of such a low-interest rate," Khutsishvili said.

---

Follow the author on Twitter: @Mila61979356

Tags:
Latest

Latest