EDB bonds listed on Armenia Securities Exchange, whose trading infrastructure was modernised with a grant from the Bank
YEREVAN, October 27. /ARKA/. The debut issue of three-year Eurasian Development Bank's (EDB) bonds, denominated in US dollars, was included in the Armenia Securities Exchange’s (AMX) Abond main list as of 26 October 2023.
Prior to that, the exchange’s infrastructure was modernized with a grant provided by the Eurasian Development Bank’s Technical Assistance Fund, resulting in more than doubling the total value of listed securities. Nikolai Podguzov, Chairman of the EDB Management Board, made this announcement during his visit to Armenia.
“This is a momentous event for us, especially given our involvement in the modernization of the exchange’s infrastructure. Floating our bonds in Armenia’s financial market and their subsequent listing on AMX is another step underscoring the EDB’s commitment as a leading development institution in the EAEU to foster the development of the local financial market and support its key participants and players,” he stated.
In 2021–2022, the EDB Technical Assistance Fund provided a grant to the Armenia Securities Exchange, facilitating the modernization of its process and the implementation of software for its new trading system. This upgraded system not only supports secondary market trading but also enables investors to have direct access to the exchange’s trading platforms through stockbrokers and to trade online using web and mobile applications in compliance with international standards.
EDB funding allowed trading system modernization to make it accessible to end investors, simplifying participation in trading procedures and creating opportunities to increase the number of direct market participants and IPOs for Armenian companies. The new software empowered AMX trading participants to connect with and conduct transactions in the exchange platforms of EAEU member countries.
As a result of these enhancements, the annual value of auctions for the placement and redemption of government securities increased by 138%, from AMD 254 billion in 2019 to almost AMD 605 billion in 2023. The annual number of transactions in the same segment experienced a 42% growth, rising from 968 in 2019 to 1,370 in 2023.
The total value of listed securities more than doubled, from AMD 1.0 trillion in 2019 to AMD 3.5 trillion in 2023. The Eurasian Development Bank (EDB) is an international financial institution investing in Eurasia. For more than 17 years, the Bank has worked to strengthen and expand economic ties and foster comprehensive development in its member countries.
The EDB's charter capital totals US $7 billion. Its portfolio consists principally of projects with an integration effect in transport infrastructure, digital systems, green energy, agriculture, manufacturing, and mechanical engineering.
The Bank’s operations are guided by the UN Sustainable Development Goals and ESG principles. The EDB Technical Assistance Fund (TAF) is a special fund helping to create enabling conditions for investment and development projects in the Bank’s member countries.
The Fund operates to enhance the Bank’s ability to finance investment projects that are in line with its mission. It supports potential borrowers at the project planning stage as well as national governments and organizations whose projects promote the institutional environment, economic development and growth. The TAF is financed from the Bank’s net profit and donor funds. -0-
