Central Bank: Uzbekistan is not going to issue sovereign Eurobonds this year

Earlier, it was reported that Uzbekistan plans to issue more Eurobonds (international bonds) this year. 

Mass media disseminated information about it with reference to Bloomberg, which cited the Central Bank Chairman Mamarizo Nurmuratov as saying.

However, the Ministry of Finance and the Central Bank issued a joint comment in which they reported that in 2019, no additional issue of sovereign international bonds of Uzbekistan is planned.

The CB asked not to confuse two concepts – the country issues sovereign bonds, and companies issue corporate ones.

So, speaking of the fact that more Eurobonds are planned this year, the point was that many companies expect to place their bonds on international markets. For example, Uzbekneftegaz has been actively preparing for this for a long time, and even it has already chosen Gazprombank as a book runner.

Issuance of international bonds on global capital markets is one of the most effective and promising market instruments for attracting external financing for the government of Uzbekistan, as well as for state and private companies, the report reads.

Reportedly, the timing and volumes of future placement of sovereign international bonds will be determined by the government of Uzbekistan on the basis of certain priorities of macroeconomic policy and taking into account the current situation on global financial markets.