Eurobond issuance success ‘testimony of trust’ — minister

AMMAN — Jordan on Monday issued a $1- billion Eurobond on international markets at 7.375 per cent interest rate, maturing after 30 years.

Subscription has exceeded $4.3 billion, four-fold the value of the issuance, a Finance Ministry statement said.

More than 240 investment funds, including international ones in the US, the UK and Europe, have subscribed, the ministry said.

The Eurobond issuance is part of the government’s plan in handling cash flow and public debt, the statement said, adding that the volume of the issuance and the maturity date reflect the trust of international investors and funds in the ability of Jordan’s economy to grow.

Finance Minister Omar Malhas said that the issuance came as a result of His Majesty King Abdullah’s tireless efforts to enhance the international community’s confidence in Jordan’s policies and financial reform efforts.

Malhas noted that Jordan has indulged in a financial reform programme in cooperation with the International Monetary Fund to reduce the public debt ratio to GDP from 95 per cent to 77 per cent by 2022.

Finance Ministry Secretary General Izzeddin Kanakryah said that the bonds will be used to finance the needs of the Treasury including settling domestic bonds that will be due at the end of this year.