Armenia’s Finance Minister Vahe Hovhannisyan reported that the $750 million Eurobond issued in March this year at a 7.1% yield attracted significant interest on international capital markets.

According to the minister, most investors were based in the United Kingdom and the United States, Armenpress reports.

“Demand was nearly three times greater than the volume issued. While the nominal interest rate appears high, it reflects global rate increases in recent years. It also underscores Armenia’s international credibility and the attention of major investment firms. In terms of investor geography: Europe accounted for 14%, the U.K. for 45%, the U.S. for 34%, and the Middle East and North Africa for 5%,” he said.

The bonds mature in 10 years, with proceeds going toward financing the national budget deficit.

“We successfully issued $750 million in Eurobonds with a 7.1% yield. Notably, the spread of 2.86 percentage points is almost identical to our previous 2021 issue at 2.84 points. Unlike many peer countries, which now face wider spreads due to market shifts, Armenia has maintained relatively low spreads compared to Uzbekistan, Romania, Turkey, Georgia, and Jordan,” the minister added.

He also confirmed that no new Eurobond issuances are planned for 2025 or 2026.

This marks Armenia’s fifth Eurobond issuance on international capital markets.