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This year's 2nd SLBS totaling 421.3 billion won issued

  • Date 2006-05-11
  • Views 4,621

This year's 2nd SLBS totaling 421.3 billion won issued


 On May 10, KHFC issued KRW 421.3 billion won in this year's second SLBS.


 There are eight maturities from one year to 20 years.  A call option is attached to SLBS maturing over five years as a safeguard against early redemptions.

 The interest rates vary depending on maturity.  The rates for one, three, five, 10, and 20 years are 4.71%, 4.93%, 5.24%, 5.46%, and 5.64%, respectively, and the weighted average interest rate is 5.39%.


The first-ever issuance of SLBS in Korea was by KHFC in October last year, and it totaled KRW 517.0 billion.  KHFC also issued KRW 415.0 billion in April this year.  Total cumulative issuance is now 1.3533 trillion, contributing greatly to stimulating the long-term bond market in Korea.

 KHFC also plans to issue SLBS totaling over KRW 800 billion in the bond market in the second half of this year and continue to increase the supply in the future.