Moldova mulls issuing 500 mln euro Eurobond in 2025

Simulations indicated that the issuance of a 7-year Eurobond would significantly improve risk indicators of state debt, according to the "2023-2025 medium-term government debt management" programme approved by the Moldovan cabinet on Wednesday.

Another important source of external financing will be loans from international lenders and institutions such as the World Bank, the International Monetary Fund, European Union, Japan International Cooperation Agency and European Investment Bank.

Taking into account the estimated budget deficit and the existing fiscal space, the government's financing needs will be covered mostly from external sources during the period 2023-2025, the programme reads. Thus, in 2023, financing from domestic sources will equal 0.9% of projected GDP, external financing to 3.6% of GDP, while other financing sources will have a 0.8% share. The main source of domestic financing will be the issuance of bonds and Treasury bills with maturities of 2, 3, 5 and 7 years.

($=0.9226 euro)