Nepal Infrastructure Bank To Issue Bonds To Be Listed In London Stock Exchange
March 15, 2021 | Investopaper
Nepal Infrastructure Bank Limited (NIFRA) is going to issue bonds that will be listed on the London Stock Exchange.
The bank’s chief executive officer Ram Krishna Khatiwada said the bank would issue $30 million worth of bonds to bebe on the London Stock Exchange within the current fiscal year. For this, the bank has already received approval from Nepal Rastra Bank.
The investors of the bond will get 8.5 percent return. The bond will be issued through ‘credit wrapping’ by a well-known institution in London. The money received from the five-year bond will be invested in major development infrastructure of Nepal.
CEO Khatiwada said that they are also discussing the issue of bringing in strategic partners in NIFRA. He also clarified that the investors of NIFRA established for the purpose of investing in big development infrastructure should not worry about the return. “It is a bank that invests in infrastructure of a long-term nature. We will give a fair return in the long run.,” said Khatiwada.
NIFRA is also preparing to issue bonds for banks and financial institutions. Purchase of such bonds by commercial banks can be calculated an investment in the infrastructure.
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