Uzpromstroybank Issues US$300 Million in AT1 International Bonds on the London Stock Exchange

Tashkent, Uzbekistan (UzDaily.com) — In October 2025, Uzpromstroybank (SQB) successfully issued US$300 million in Additional Tier 1 (AT1) international bonds on the London Stock Exchange.

According to the bank’s press service, this milestone strengthens the bank’s financial resilience, expands the use of modern financial instruments in international markets, and enhances Uzbekistan’s investment appeal.

The AT1 bond offering attracted interest from over 130 investors across 22 countries, with total bids exceeding US$1.4 billion, nearly five times the planned issuance. As a result, the coupon rate was reduced from 9.75–10% to 9.45%. The majority of investors came from the UK (45%), the USA (28%), the UAE (8%), and Switzerland (6%). Leading international banks, including Citibank, J.P. Morgan, Societe Generale, Standard Chartered, Raiffeisenbank, and Mashreqbank, acted as bookrunners.

The AT1 bonds comply with Basel III international standards and are aimed at increasing Tier 1 capital without state budget involvement. Following the issuance, the bank’s total capital adequacy ratio rose from 15.9% to 19%, while the Tier 1 capital ratio increased from 11.3% to 14.7%. These improvements are expected to enable the bank to raise approximately US$2.1 billion in additional loans in 2026–2027 and generate around US$80 million in net interest income, providing a foundation for financing production and infrastructure projects nationwide.

The successful bond placement confirms the stability and effectiveness of banking sector reforms in Uzbekistan and strengthens the international credibility of domestic financial institutions. Experts note that such transactions demonstrate the openness and investment attractiveness of the country’s economy, paving the way for other commercial banks to enter global capital markets.