Egypt issued international bonds in the Irish Stock Exchange on Wednesday through a private placement in favour of the Central Bank of Egypt (CBE), according to the Egyptian Ministry of Finance on Thursday.
The ministry said that the government issued bonds worth $1.36bn with an annual interest rate of 4.62% to mature on 10 December 2017. Additionally, the ministry issued a $1.32bn bond with an interest rate of 6.75% to mature on 10 November 2024, and a bond worth $1.32bn with a 7% interest rate to mature on 10 November 2028.
Minister of Finance Amr El-Garhy said that this step comes in the framework of the ministry’s commitment to diversify the financing sources for the budget deficit.
El-Garhy added that this issue also aims to ease pressure on domestic funding sources and reduce the cost of public debt.
The statement said that the private placement of the bonds comes in line with the ministry’s plan to issue bonds in international capital markets during the coming period.