July 7 (SeeNews) - Kosovo's finance ministry will issue three-year and five-year diaspora bonds on August 20 as part of its 420 million euro ($496.5 million) package for post-Covid economic recovery, it said.
The three-year government securities will carry an annual interest rate of 1.20%, whereas the five-year bond will have an annual coupon of 2.20%, Kosovo's finance ministry said in a statement on Tuesday.
Coupon payments will be due semiannually for both issues, with the first payment planned for February 20, 2022.
The finance ministry said last week that it plans to issue diaspora bonds as part of the economic recovery package. Kosovo will allocate to the package some 190 million euro from the state budget, whereas the remaining 230 million euro will be provided through borrowing.
The purpose of diaspora bonds is to channel the diaspora capital towards strategic investments for the development of Kosovo, the finance ministry said.
($ = 0.8458 euro)