JSC National Bank for Foreign Economic Activity of the Republic of Uzbekistan (Uznatsbank) has successfully placed bonds on the London Stock Exchange in two tranches totalling $411 million : $300 million maturing in 5 years, and 1.4 trillion UZS ($111 million) maturing in 3 years.
Uznatsbank’s placement of the bonds follows Uzbekistan’s successful placement of sovereign bonds, totalling $1.5 billion in three currencies, in international financial markets on May 21.
Funds raised by bonds on the London Stock Exchange will primarily be used to carry out directives, issued by the President of Uzbekistan at a meeting on May 20, to attract foreign investment by commercial banks. Monies will also be invested in critical projects across various economic sectors to stimulate the country’s economic growth.
Uznatsbank is one of the Uzbekistan’s first commercial banks to place bonds in the national currency in the international financial market and as such, the transaction will serve as a benchmark for other commercial banks and enterprises of the country.
The London Stock Exchange, founded in 1801, is one of world’s leading stock exchanges.
