TIRANA, June 7/ATA/ The Albanian government issued yesterday the sixth Eurobond with a value of 600 million Euros in the capital markets.
Minister of Finance and Economy Delina Ibrahimaj said today to the media after the government meeting that the procedure has not yet been closed.
“It is expected to be closed within the current week and after that we will also detail the elements of the Eurobond issue in the capital markets. There was a higher value than was foreseen in the law. But, the law also provides for the increase in value. We have appreciated that the state of liquidity of the capital markets, in accordance with the need for liquidity that the country has, but also the general conditions of international rates and liquidity allows to be obtained this greater value. This serves the medium-term debt management strategy approved by the Ministry of Finance and Economy”, said Ibrahimaj.
The government has selected the “Dechert LLP” company as the legal consultant for the issuance of the sixth Eurobond, which is expected in 2023.
According to the Ministry of Finance and Economy, the “Dechert LLP” company has expertise in English law and the law of the United States of America for securities.
This is the sixth time that our country has turned to the international capital markets with the Eurobond instrument.
The first Eurobond was issued in 2010 (worth 300 million Euros, 5-year maturity and 7.5% interest) and was repaid in 2015. Subsequent Eurobonds that are still active (not fully repaid) are:
The Eurobond issued in 2015 (with a 5-year maturity), in the amount of 450 million Euros and with an interest rate of 4.75%, the Eurobond issued in 2018, in the amount of 500 million Euros, with a maturity of 7- annual and interest rate 3.5 %.
On June 9, 2020, the Republic of Albania successfully entered the international markets with a new 7-year international bond in the amount of €650 million with a coupon of 3.50%.
Albania closed in mid-November 2021 its fifth exit to the capital markets, the Eurobond of 650 million Euros with a coupon of 3.50% with 3.75% interest.
During successive issuances, Albania has been successful, enabling issuances at lower and lower costs, due to increased credibility in the eyes of investors./p.s./
