The EBRD's local currency issuance assists in the development of domestic capital markets in the Bank's countries of operations. The key advantages of such issues are:
a triple-A credit curve gives corporations wishing to access the market an alternative pricing benchmark to the government curve
innovative techniques used by the Bank help to foster the overall development of the market
providing a triple-A conduit allows new investors to gain exposure to the local market, allowing the dissociation of credit and currency allocation risks.This is often a precursor to these investors participating in the local government and corporate/bank debt market
for domestic investors, an issue by the EBRD provides an opportunity for credit diversification in their portfolios
Related links and documents
- Local currency financing presentation
- Презентация Финансирование в национальных валютах
- Mosprime rates
- MosPrime rate presentation
- EBRD issuance in local currencies (chart)
- Local currency issued bonds (table)
- Considerations for Local Currency Operations
Domestic Bond Issuances
RSD 2.5 billion inaugural public domestic bond
EBRD placed inaugural Serbian Dinar bond issuance in the amount of RSD 2.5 billion. This 3 years issuance has a floating rate coupon linked to 3-months-BELIBOR.
SEC approved prospectus and Report on the outcome of public offering of debt securities
GEL 107 million inaugural public domestic bond
EBRD launched its inaugural public listed bond in the Georgian domestic market for GEL 107 million (EUR 43.91 million). This five-year pioneering issuance has a floating rate coupon linked to the three-month CD rate issued by the National Bank of Georgia. The issuance was documented under domestic standalone documentation.
GEL 50 million domestic bond
EBRD marked an historic milestone in Georgia with the first-ever bond issue by an international financial institution in Georgian lari. The two-year bond totaling 50 million lari (€20.7 million) is the first bond placed by the foreign issuer in Georgia and also represents the first floating rate note on the domestic market.
AMD 2 billion domestic bond
The Bank has issued its first-ever bond in Armenian Dram (AMD), helping to drive forward the development of the local capital market and providing funds for the EBRD’s own lending to the Armenian economy in local currency. The one-year bonds for a total of AMD 2 billion (approximately USD $5 million) were placed via an auction on the NASDAQ OMX Armenia exchange in Yerevan on 31 January.
RUB 1 billion domestic bond
EBRD places 5-year RUB 1 billion bond linked to DJ-UBSCISM commodity index
RUB 7 billion domestic bond
The Bank placed an eight-year, capital-protected RUB 7 billion bond whose final return is linked to the performance of the Russian Depository Index.
RUB 3.5 billion and RUB 3.5 billion domestic bondsThe Bank executed two new long term domestic issues denominated in RUB. Both transactions are 8-year public deals each with a principal amount of RUB 3.5 billion.
The offerings have an issue price of 100% and will mature at 100% on 28 September 2018. The notes, which carry a 0.015% coupon payable annually also pay a supplementary final coupon linked to the performance of a basket of commodities comprising gold, silver and platinum
RUB 5 billion and RUB 3 billion domestic bond
The Bank returned to the Russian capital market in 2009 with the launch of two rouble bond issues, underscoring its commitment to the development of the domestic capital market and supporting its strategy of local currency lending in Russia.
The five-year RUB 5 billion and RUB 3 billion Floating Rate Notes (FRN) are linked to MosPrime.
More information about the RUB 5 billion (2005) RUB 5 billion (2006) and RUB 7.5 billion (2006) including Terms and Conditions.
RON 130 million domestic/international bondIn February 2009 EBRD launched its inaugural issue in Romanian leu which was increased in May 2009. The offering represented the first ever bond to be launched simultaneously in the Romanian and the international markets and the first ever tap issue in Romania. The 10-year issue is cleared through Clearstream, Euroclear and the Romanian Central Depository. Bonds are listed on both the Bucharest Stock Exchange and the London Stock Exchange. This issuance, which forms part of the Bank’s strategy to assist in the development of the capital markets in Romania, enabled the Bank to access the domestic Romanian investor base, in addition to capturing demand for RON from the international investment community. More information about this transaction