Minsk wants to place bonds on two billion dollars in Russia and China

© RIA Novosti / Egor Rememberace in fotobanka Belarus. Archival photoMinsk wants to place bonds on two billion dollars in Russia and China© RIA Novosti / Egor Removeroute the image Bank

Belarus plans to attract a total of up to $ 2 billion through the placement of government bonds in the markets of Russia, China and other local markets over the next few years, said the Finance Minister of Belarus Maxim Ermolovich.

«We are preparing for the placements of sovereign bonds in local markets are the markets of China, the Russian Federation… We expect that in the medium term, with local markets — Russia, China, and other markets in which Belarus could work with, we will be able to borrow up to $ 2 billion in total for a few years,» said Ermolovich in an interview to the STV channel, shown on Sunday evening.

The Minister said that next year Belarus plans to place Eurobonds.

He also spoke about the strategy of passing the Minsk peak of payments on external public debt in 2019-2020, when the payments will exceed $ 3.5 billion and $ 3.7 billion, respectively.

«We need these peak payments to smooth out… We are moving into new markets borrowing to part refinance the debt», — he said. In addition, continued Ermolovich, at the expense of the budget surplus is planned to repay part of the external debt. According to him, «certain revenues (budget — ed.) that do not have a permanent character, connected with the oil situation, will be directed on repayment of public debt».

The Finance Minister noted that, in particular, will refinance 75% of the total repayment of external debt and the redemption of the remaining 25%. In addition, the government of Belarus aimed at improving the profile of public debt: raising resources on more favourable terms and at more comfortable rates. «We need to develop a strategy that will allow us with no debt to Finance the operation of our businesses, that is, when the related loans are not the government is the main borrower (money — ed.) on commercial projects and enterprises themselves will find the resources — it’s not a state debt,» — said Ermolovich.

Earlier Belarus planned that by the end of this year and early next year country for the first time to enter the Chinese financial market. The potential volume of placing of bonds it was estimated in the amount of up to $ 500 million. In addition, the Ministry of Finance and Belarus have signed an agreement with a number of Russian banks with the purpose of placing in 2018-2019 on Masuria bonds in national currency of the Russian Federation.

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