ASTANA (CaspioNet) – To cover its more than 785 bln tenge budget, Kazakhstan will issue Eurobonds for 150 bln tenge in the first half of 2013. The Kazakh government plans to issue 537 bln tenge of state securities at the domestic market and 248 bln at the foreign market.

At a meeting of the government, the Finance Minister Bolat Zhamishev, presenting the project of the decree of the government Bolat Zhamishev announced that 150 bln tenge (€739 mln) of this amount is stipulated for the issue of Eurobonds. The Kakzah government has already organized 4 issues of Eurobonds during 1996-2000. The Finance Minister noted that in May 2007 the government paid back Eurobonds of the last issue.

The issue of sovereign Eurobonds turns out to be pertinent in the light of the entrance of Kazakh companies to foreign markets in 2013 for refinancing of their liabilities on Eurobonds. The Minister of Finance said that taking into account low reference rates and stable macroeconomic state of affairs in the country, in the first half of 2013 Kazakhstan will issue sovereign Eurobonds for the financing of the budget deficit and defining of a benchmark for Kazakhstan issuers. According to the results of the meeting, the government adopted the project of the decree on the issue of state equity securities at foreign capital market.

Bolat Zhamishev, Kazakh Minister of Finance said:

The work on the preparation of necessary documents on the issue of Eurobonds will take about 8 weeks, taking into account long absence of Kazakhstan at foreign capital markets. We believe that it is necessary to involve economic department officials into the delegation for the roadmap on the issue of Eurobonds.