ASTANA – With the support of the Astana International Financial Centre’s (AIFC) and Green Finance Center, the Development Bank of Kazakhstan (DBK) launched its inaugural sustainability Eurobonds, raising 100 billion tenge ($222.7 million) with a three-year maturity on the Vienna Multilateral Trading System platform, the AIFC’s press service reported on April 16.
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This issuance represents the first sustainability Eurobonds from the Commonwealth of Independent States (CIS) for a non-sovereign issuer in local currency in the entire history of Eurobond issuances by CIS entities.
The proceeds will be allocated to finance and refinance projects that meet both green and social project criteria.
Another issue placed by the DBK was denominated in $500 million, with securities circulation period of three years, and a coupon rate of 5.5% per annum. This issuance achieved the narrowest spread to the United States Treasuries for a benchmark issue of a BBB-rated financial institution from emerging markets of all time.
As part of Kazakhstan’s first international issuance of sustainability Eurobonds in local currency, Sustainable Fitch and the AIFC Green Finance Center provided a positive external assessment, confirming compliance with the sustainable development bond standards of the International Capital Markets Association.
Over 110 investors generated demand for both issues of securities.
