AMF increases amount of bonds to be placed

An auction on placement of the next interest-bearing registered book-entry secured bonds by the Azerbaijan Mortgage Fund (AMF) under the Central Bank of Azerbaijan (CBA) in the amount of 5 million manat will be held on May 26, the AMF said.

According to the report, the placement will be held by public subscription. The bonds will be put for auction at a price - 100, 9583.

The maturity date is Dec.11, 2017. If demand exceeds supply, all orders will be ensured proportionally. The CBA will act as the initial organizer of placing the bonds

The placement is carried out from the third issue of registered book-entry bonds registered in the amount of 60 million manat with an interest rate of three percent per annum and a nominal value of 1,000 manat each. The placement of this issue started from Jan.17 and bonds worth 28 million have been sold up to date.

Given a great demand in mortgage loans, offers to purchase bonds exceed the amount of placement at each auction. In this regard, the AMF increased the amount of tranches up to 5million manat. The amount is usually limited to 3 million manat.

The official exchange rate is 0.79 manat to $1 on May 24.


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