Kazakhstan Achieves Record Pricing in Debut Panda Bond Issuance

Astana International Exchange (“AIX” or “the Exchange”) announces that the Ministry of Finance of the Republic of Kazakhstan has successfully completed its inaugural sovereign panda bond issuance in the domestic Chinese capital market. The landmark transaction marks a major milestone in Kazakhstan’s engagement with international debt capital markets and underscores the country’s continued efforts to diversify its funding base and broaden access to new pools of global liquidity.

The transaction was completed through the issuance of senior sovereign bonds in an aggregate amount of CNY 3.4 billion, carrying a three-year maturity and a coupon rate of 1.90% per annum. The offering was met with exceptionally strong demand from Chinese institutional investors, achieving a two-fold oversubscription level, reflecting robust investor confidence in Kazakhstan’s sovereign credit profile and long-term economic outlook.

The Beijing Financial Assets Exchange and Astana International Exchange acted as the listing venues for the transaction, further advancing financial connectivity between Kazakhstan and China and reinforcing bilateral cooperation in the capital markets sphere. The dual-listing structure highlights the growing integration between the two markets and reflects the shared commitment to fostering cross-border investment and long-term financial collaboration.

Assel Mukazhanova, AIX CEO, said:

“We are proud to support the successful debut sovereign panda bond issuance by the Ministry of Finance of the Republic of Kazakhstan. The exceptionally strong demand from Chinese institutional investors demonstrates growing international confidence in Kazakhstan’s economic fundamentals and sovereign credit quality. The dual listing on the Beijing Financial Assets Exchange and Astana International Exchange further reflects the increasing connectivity between our markets and highlights AIX’s role as a bridge between regional and international capital flows. We believe this transaction will pave the way for further cross-border issuances and broader engagement between issuers and investors across the two markets”.

The transaction was organized by China International Capital Corporation as a Lead Underwriter and Lead Bookrunner, Industrial and Commercial Bank of China and China Construction Bank Corporation as Joint Underwriters and Joint Bookrunners and Teniz Capital Investment Banking as Local Lead Manager.

Reference:

AIX was formed in 2017 within the Astana International Financial Centre development framework. AIX shareholders are AIFC, the Shanghai stock exchange, the Silk Road Fund, and NASDAQ, which also provides the AIX trading platform. The exchange operates within a regulatory environment based on the principles of English Law, thus providing a reliable investment environment. www.aix.kz

The Astana International Financial Centre (AIFC) is an independent jurisdiction where investors and business meet emerging opportunities of Kazakhstan and Central Asia in a transparent and sustainable environment backed by the principles of English Common Law. aifc.kz