The Development Bank of Namibia (DBN) yesterday stated that it has successfully fully redeemed its DBN23 bond, the last of three amortising fixed rated bonds issued by the bank in 2018. DBN20A1, the first of the three, was issued in February 2018 and raised N$140 million. DBN20B was issued in March 2018, raising N$70 million and DBN23, the last of three, was issued in December 2018 and raised N$290 million.
DBN20A1 was repaid in February 2023, DBN20B was repaid in March 2023, and DBN23 was repaid in August 2023. The proceeds of the three bonds were utilised for on-lending to several developmental projects funded by the DBN.
DBN CEO John Steytler expressed happiness with the sound governance of the DBN. “It is always a significant milestone when bonds are successfully repaid. This inspires confidence in investors as a positive refection of the financial health and good management of the DBN.”
In total, the DBN has issued five bonds, including DBN23, since listing its medium-term note programme on the Namibian Stock Exchange (NSX) in July 2017. The programme falls within the twin mandate elements of the bank to develop new, sustainable methods of investment, and to enable the private sector to participate in funding development in Namibia. “It’s also worth noting that the funds raised from these bonds have been put to good use in supporting various developmental projects, which is essential for the growth and prosperity of Namibia,” Steytler noted.
Since the launch of the bank’s inaugural Sustainable Finance Framework in April 2023, the DBN is currently advanced in the arrangement of a debut sustainability bond under the framework.
DBN is rated by Fitch Ratings. The bank currently has a foreign currency long-term issuer default rating (IDR) of ‘BB-’/Outlook Stable, and a national long-term IDR of ‘AA+’ (zaf)’ /Outlook Stable.