KPL
Lao PDR has successfully issued a US$500 million, 5.5-year sovereign bond on the Hong Kong Stock Exchange (HKEX), marking the country’s largest international bond issuance to date and its first inclusion in the JPMorgan Emerging Markets Bond Index (EMBI).
Deputy Prime Minister and Minister of Finance Santiphab Phomvihane led a government delegation at a ceremony at HKEX on October 29 to mark the bond’s listing.
The issuance attracted demand 2.9 times the target amount, with commitments from 86 institutional investors across Asia, Europe, the Middle East, Africa and the United States. The strong demand reflects international investor interest in Laos’ economic stabilisation efforts, debt management and fiscal policies.
The bond listing is expected to broaden Laos’ international investor base and diversify medium-term financing sources, giving the government greater flexibility in managing public debt while maintaining a focus on borrowing costs, risk management and debt sustainability.
It also establishes an international pricing benchmark for future bond issuances by Lao public entities, including state-owned enterprises, while supporting greater transparency and strengthening the country’s credibility in international financial markets.
The Ministry of Finance said the transaction reflects the government’s commitment to sound macroeconomic management, financial transparency and meeting its international debt obligations.
KPL
