The National Savings Bank (NSB) yesterday successfully completed its international dollar bond issue at an attractive interest rate advantageous to the bank.

According to Bloomberg News Service, though initially the NSB had announced the Initial Price Guidance for this issue as 5.5 percent, finally it had been sold at a lower interest rate like 5.15 percent.

This issue has received orders to the value of USD 2.1 billion, according to Bloomberg.

As usual, US investors have bought the larger part of the issue – 34 percent while 37 percent were bought by Asian and 29 percent by European investors.

While 80 percent had been bought by fund managers and asset managers 8 percent had been bought by banks and 01 percent by insurance companies.

In September last year the NSB launched an international bond issue and collected USD 750 million at an interest rate of 8.875 percent. Compared to this the lower interest rate of 5.15 percent is advantageous.

The NSB had received orders to the value of USD 2.4 billion for this international dollar bond issue for USD 750 million.

Though the government avoids obtaining direct international loans it does so through banks.