KASE adds 17 regional bond issues worth KZT 68.2bn to its state debt list

Seventeen bond issues of Kazakhstan's local executive bodies, with a combined face value of about KZT 68.2bn, joined the government securities sector of the Kazakhstan Stock Exchange's official list on 29 October, the exchange said.

The issues come from nine regions and cities. Aktobe region accounts for five issues with about KZT 25.7bn, Abai region for two with about KZT 12.0bn, Almaty region for three with about KZT 11.2bn, and West Kazakhstan region for one of about KZT 8.0bn. Mangystau, Zhetisu, North Kazakhstan, Ulytau and the city of Astana make up the rest, on the Newsdesk's addition of the exchange's list.

The bonds were issued to finance construction and modernisation of wastewater treatment plants and of heat, electricity, water supply and disposal networks, and to finance housing construction and the purchase of housing, the exchange said. Nine issues of 5, 7 and 10 years, worth about KZT 18.2bn, pay 12.79 per cent a year; five issues of 46 months, worth about KZT 38.9bn, pay 14.47 per cent; and three issues of 46 months, worth about KZT 11.1bn, pay 16.52 per cent.

The largest single issue is Aktobe region's 46-month bond of about KZT 15.1bn at 14.47 per cent, and the smallest is Aktobe's 10-year bond of about KZT 79.9m at 12.79 per cent. Every bond has a face value of KZT 1,000; the 46-month and 5-year issues pay coupons twice a year and the 7-year and 10-year issues once a year, on a 30/360 basis, the exchange's list shows. Aktobe and Almaty regions each have bonds of three different tenors on the list, from 46 months to 10 years.

Those coupons straddle the base rate of 15.75 per cent that the National Bank of Kazakhstan set on 23 October, its fourth cut since June. On the same day as the listing, Kazakhstan Housing Company placed three-year bonds at 16.22 per cent, 47 basis points above that rate. The committee's guidance after the cut signals a pause.

Regional totals and coupon groups are Newsdesk additions from the face values the exchange lists for each issue.