Albania’s launch of first Eurobonds is successful

TIRANA, Jan.22- The Finance Ministry spokeswoman Eva Simoni announced on Monday that the debut performance of Albania’s Eurobond issue worth 45 million euro ($58.3 million) resulted in a yield of 5.024 percent. Simoni added that the auction was held on December 22 and had a maximum offered yield of 5.15 percent. The Eurobonds, the first ever issue of Albanian government treasuries denominated in foreign currency, mature on September 26, 2007. Albania will use the proceeds from the issue to finance major infrastructure projects, refinance existing debt and promote Albania on the international capital markets. The Ministry also commented on the sale of three-year notes, which yielded 8.9 percent in an auction earlier this month.
Albania’s central bank, on behalf of the Finance Ministry, offered and sold 3 billion leks ($31 million/24 million euro) worth of three-year papers. The auction took place on January 4. The T-notes, had an issue date of January 5 and will mature on January 5, 2010. The fixed-rate securities carry an 8.7 percent coupon, to be paid semi-annually – on July 5 and January 5. Albania holds three-year T-notes auctions every three months. BoA auctioned on Tuesday last week, 11.5 billion leks ($120.3 million/92.4 million euro) in three Treasury bill issues. The three-month T-bill issue will have a par value of 1.3 billion leks, maturing on May 3, six-month T-bills worth 3.8 billion leks maturing on August 2 and 6.4 billion leks worth of 12-month T-bills maturing on January 31 next year.