The State Financial Holding will invest 3 billion KGS in government bonds

The State Financial Holding has decided to invest the 3 billion KGS received from the increase in its authorized capital in Kyrgyzstan government treasury bonds.

The decision was approved by the company’s sole shareholder on May 14.

According to the document, the funds will be invested in government securities with a three-year maturity. The projected return on investment is 12.86% per annum.

Thus, instead of placing funds in bank deposits or directing them toward corporate projects, the State Financial Holding has decided to invest the capital in government debt securities.

Based on the stated yield, the investment could generate approximately 385.8 million KGS in interest income per year. Over three years, the total income could exceed 1.2 billion KGS if current conditions remain unchanged.

The decision is also noteworthy because it involves funds recently injected into the company’s capital. In fact, the government increased Gosfinholding’s capital by 3 billion KGS, after which these funds will be returned to the government through the purchase of treasury bonds.