Local Currency Borrowings

ADB is committed to helping its developing members develop their domestic capital markets by issuing local currency bonds and through other initiatives such as asset swaps, sound structuring and pricing of both sovereign and non-sovereign projects and through policy dialogue.

ADB has a long history of innovation in this area. In 1970, it was the first issuer of Samurai bonds in the Japanese yen market. ADB was also the first foreign issuer in the domestic capital markets of the People's Republic of China*, India, Korea, Malaysia, Philippines, Taipei,China, and Thailand. 

In line with its keen support to the development of regional bond markets and the ASEAN+3 Bond Market Initiative, ADB has established a US$10 billion equivalent Asian Currency Note Program (ACNP) . The ACNP is dedicated to note issuances in regional currencies and is a significant milestone for Asian capital market development. To date, five regional currencies have been approved for inclusion under the ACNP: Hong Kong dollar, Malaysian ringgit, Philippine peso, Singapore dollar, and NT dollar. ADB has also established a MYR3.8 billion Medium-Term Note Program in Malaysia.  

In 2013, ADB issued a Singapore dollar-denominated bond under ACNP amounting to S$500 million at 1.027% due 2018. Besides local currency bond issuances, ADB also raises funds through cross-currency swaps to fund local currency needs of its sovereign and non-sovereign projects.

Benefits to investors

  • exposure to local currencies and interest rates through instruments of the highest credit quality
  • investment diversification opportunity for local investors
  • exposure to longer-dated investment instruments

Outstanding local currency borrowings (as of 6 March 2015)

Currency Issue Date Maturity Date Principal Amount Coupon %
Georgian lari 19 February 2015 15 February 2018 GEL 100,000,000 FRN
PRC yuan 23 January 2015 10 November 2019 CNY 250,000,000 (tap) 3.200
PRC yuan 10 November 2014 10 November 2019 CNY 1,000,000,000 3.200
Indian rupee 1/ 28 August 2014 17 August 2016 INR 3,000,000,000 6.350
Singapore dollar 14 November 2013 14 November 2018 SGD 500,000,000 1.027
PRC yuan** 21 October 2010 21 October 2020 CNY 1,200,000,000 2.850
PRC yuan 8 December 2009 8 December 2019 CNY 1,000,000,000 4.200
Malaysian ringgit 8 February 2007 8 February 2017 MYR 500,000,000 4.000
Thai baht 18 September 2006 18 September 2016 THB 1,000,000,000 5.540
PRC yuan* 4 October 2005 14 October 2015 CNY 1,000,000,000 3.340

*Co-issuer with IFC / **Offshore CNY

FRN = floating rate note

1/  Payable in US dollar.