Lebanon Raises $500m from Eurobond Issue
Lebanon has raised 500 million dollars from a five-year Eurobond issue, with local banks the main contributors, Finance Minister Georges Corm was quoted as saying in press reports Thursday.
Corm said the loan was originally set at 400 million dollars but was 25 percent ovsersubscribed.
Corm said the operation proved that Lebanon enjoyed credibility on international markets and gave the lie to doubts about its financial capabilities.
However he admitted that only 30 percent of the 99.89 dollar bonds were taken up abroad, including 10 percent in Europe, five percent by US pension funds and the rest in the Gulf.
The Greek national bank was a subscriber for the first time, Corm added.
The aim of the issue, which carries interest of 9 3/8 percent, is to spread more of Lebanon's public debt of 22 billion dollars overseas. Servicing the debt takes up half of the present budget because of high interest payments on Lebanese treasury bonds -- BEIRUT (AFP)
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