On September 27, 2023, for the first time the Ministry of Finance placed on the Moldovan market 10-year Bonds in the total amount of 227.5 million MDL, which was 130% of the initially announced volume.

The Republic of Moldova has made a decisive step towards the development of the state securities market, which represents an important element for the development of the capital market of Moldova. The development of the capital market is essential for any economy to deepen and broaden the access to financing for all economic agents. 

Thanks to the new 10-year bond, there is now a new instrument available in the market for investors.

“We are happy to have investors interested in developing the local market and supporting the government in implementing our common goal. Non-bank investors bought 99.3% of the issue, primary dealers (banks) bought only 0.7% of the issuance for their portfolio, having a limit from their foreign shareholders to invest long-term in the market of state securities of the Republic Moldova”, said Elena Matveeva, head of public sector debt and external assistance general directorate, Ministry of Finance. 

The 10-year bond issue represents a major step towards completing the yield curve, alongside the 2, 3, 5 and 7-year government bonds issued by the Ministry of Finance. Likewise, they will constitute a reference point for setting the price of long-term instruments (loans, municipal bonds, etc.) and for the development of new ones; it will contribute to the development of the life insurance market.

This step is part of a broader policy objective of the Ministry of Finance in the development of the domestic security market.