Page 29 - bne_newspaper_August_31_2018

Weekly Lists
August 31, 2018 www.intellinews.com I Page 29
bne:Credit
Ukraine to ink agreement on conditions for new tranche of EU's €1bn financial aid
Albania to start roadshow for new Eurobond issue in September
The conditions for the European Union (EU) to release a new €1bn macro-financial assistance (MFA) for Ukraine have been agreed and the parties will sign off on the deal in the near future, according to the nation's permanent representative to the EU Mykola Tochytsky.
"There is progress, but there are conditions," Interfax quoted Tochytsky as saying. "I cannot disclose them with you until the agreement is signed."
In July, Ukrainian President Petro Poroshenko said that Ukraine ex- pects to receive a first tranche of the EU's MFA facility worth €1bn this autumn. The new assistance will cover Ukraine’s financing needs over a period of two and a half years. The loans will support economic stabilisation and a programme of structural reforms.
Albanian officials are expected to start the roadshow for the planned €500mn Eurobond issue in two to three weeks and they would prefer a maturity of five years or more, Deputy Finance Minister Erjon Luci said, according to RBI.
In early August, the Albanian government selected US, Italian
and French financial institutions to manage its planned
€500mn Eurobond, which is aimed at refinancing the country’s external debt and reducing pressure on internal financial markets.
Albania’s S&P rating is four notches below investment grade. RBI said that current conditions for the Albanian Eurobond appear very favourable especially in relation to the actual rating.
The Asian Development Bank (ADB) raised AMD2.66bn (€4.6mn) from an issue of the first offshore Armenian dram-linked bonds. The sale of the five-year fixed rate bonds was the development bank’s first fundraising in Armenian drams, as it seeks to deliver local currency funding in developing countries. Proceeds from the bonds — which are denominated in Armenian drams but settled in US dollars — will be used to support local currency lending in Armenia.
“This inaugural bond issue in Armenian dram will allow ADB to offer local currency loans in Armenia, while attracting foreign in- vestment and supporting the development of the Armenian capital markets,” said ADB treasurer Pierre Van Peteghem.
ADB issues its first Armenian dram-linked bonds