The Eurasian Development Bank (EDB) made its debut offering of UAE dirham bonds on the Astana International Exchange (AIX), becoming the first issuer of such bonds in Kazakhstan. 

The placement attracted a wide range of investors, including banks, investment funds, brokers from Kazakhstan and UAE. The deal was organised by Freedom Finance Global. 

The issue volume totalled 185 million UAE dirhams (equivalent to $50 million), with a three-year maturity and a coupon rate of 6.5% per annum. 

The transaction is important for expanding the offering of foreign exchange instruments in Kazakhstan and Central Asia. This is the first phase of a Dh700 million programme reflecting EDB's strategy to diversify its funding. The bonds were realised through bookbuilding on AIX and are exclusively for qualified investors. 

Investor interest in the dirham is fuelled by the currency's fixed exchange rate against the US dollar, which reduces currency risks and hedging costs. The issue marks the first time the EDB has introduced dirham-denominated bonds in Kazakhstan, reinforcing the EDB's role in increasing financial capacity. The deal demonstrates investors' increased interest in currency diversification and supports economic ties between Central Asia and the Middle East. 

Daniyar Imangaliev, Deputy Chairman of the EDB's Management Board, said that the issue is a testament to the Bank's commitment to financial innovation and strengthening regional capital markets. He emphasised that investor interest in the debut issue is justified by the reliability of the EDB and the potential of the Kazakhstan market. 

Asel Mukazhanova, Chairman of the Board of AIX, said that the issue of bonds in UAE dirhams will be an important step towards currency diversification in the local market. She emphasised that this demonstrates AIX's readiness to meet the modern requirements of investors and businesses.