Kyrgyzstan may issue Eurobonds again this year, says Finance Minister

Kyrgyzstan could potentially return to the international Eurobond market later this year, depending on the nation's financial needs, stated Minister of Finance Ruslan Suyanaliyev. He indicated that if the necessity arises, the country would proceed with another issuance.

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If there is a need, then we will issue more.

This potential move follows Kyrgyzstan's inaugural foray into the Eurobond market in 2025, when it successfully raised $700 million. Suyanaliyev highlighted that this initial issuance was a significant step in bolstering the country's international profile and fostering greater trust among global financial markets. He noted that neighboring countries have long utilized such financial instruments for economic development.

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Eurobonds are used precisely for the development of our economy.

A key advantage of Eurobonds, as explained by the Minister, is the ability to secure funding without the burdensome conditions often imposed by traditional donors. He elaborated that donor programs can sometimes necessitate legislative changes or tariff increases, which may not always be in the state's best interest. While acknowledging that Eurobonds might carry higher interest rates, Suyanaliyev pointed out that mechanisms are in place to mitigate these costs.

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The programs offered by donors are not always beneficial to the state. Sometimes we have to change legislation or increase tariffs. There are loans with good conditions, and there are those that are not always acceptable.

Suyanaliyev emphasized that Eurobonds grant Kyrgyzstan greater autonomy in managing the raised capital. "Eurobonds are without any obligations," he stated, underscoring the flexibility they offer. To manage the associated risks and ensure that the debt does not unduly burden the national budget, authorities have established a special state debt mitigation account.

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Eurobonds allow Kyrgyzstan to independently manage the attracted funds. Eurobonds are without any obligations.