UAE – Mubasher: Abu Dhabi will sell extra US dollar-denominated bonds in light of the economic consequences and the decline in oil prices amid the coronavirus (COVID-19) pandemic, according to Reuters.

A document, issued on Tuesday, referred that Abu Dhabi will use a tap issue of its existing dollar bonds, due in 2025, 2030, and 2050, which were issued in April.

The emirate hired BNP Paribas, First Abu Dhabi Bank, JPMorgan, and Standard Chartered to arrange the sale of around $2 billion worth of notes with a return 165 basis points (bps) above that of the US Treasuries due in 2025.

As for the bonds due in 2030, it will be offered at 1.85% over the US Treasuries for $2 billion, and 3.5%-3.55% bps for the $3 billion notes due in 2050.

Abu Dhabi will benefit from the bond sale for general budgetary purposes, as shown by the document.