Ministry of Finance of Albania issues the Countrys First Eurobond

Friday, 5 November 2010

Considering the satisfactory situation of stabilized capital markets in recent weeks, Ministry of Finance decided to enter the international market for the first Eurobond issue in the history of Albania. Guided by two of the largest/most prestigious banks in the world that deals with the transactions of sovereign securities issue, JP Morgan and Deutsche Bank, Eurobond auction has already begun. Although the authorization for the Eurobond is totaling 400 million euros with an 8.5 % coupon rate, the Eurobond was actually issued in the value of 300 million euro and coupon rate of 7.5, matching the Ministry target to issue in smaller amount, by carefully analyzing the structure of debt portfolio and effective interest rate of Eurobond. Ministry of Finance has good expectations in terms of a high participation of international financial institutions, which may include investment and pension funds, banks, insurance companies etc.