Following a public, transparent and competitive process, maib, the leader of the banking sector in the Republic of Moldova, has been appointed financial intermediary for the municipal bond issue launched by Costești Town Hall, Ialoveni district, totaling MDL 4,5 million.
The funds raised will be used to complete the project "Construction of the sewerage system and wastewater treatment plant in the village of Costești", an essential investment to improve the living conditions of the inhabitants and to protect the environment.
This issue is a modern, efficient and transparent financial instrument, which offers the possibility to attract resources through the capital market and to diversify investment opportunities.
The financial means will be used exclusively for the completion of the construction works, with a direct and positive impact on the quality of life of Costești residents. Moreover, this mechanism gives citizens and investors the opportunity to contribute to local development, while at the same time obtaining an attractive financial return through the coupon on the bonds. The project thus becomes an example of participatory, sustainable and mutually beneficial financing.
Ilie Ionaș, Mayor of Costești village:
“We are pleased to take this historic step for the village of Costești by launching the first municipal bond issue. It is a modern financial instrument that will allow us to attract important resources without pressure on the local budget. With the funds raised we will be able to invest in concrete projects - modernizing infrastructure, improving public services, and developing community spaces - things that will be directly reflected in the daily lives of the residents. We believe this initiative opens a new phase of sustainable and smart development for our community.”
As an intermediary, maib will provide support throughout the entire process: from structuring and authorizing the issue, to promotion, public offering, closing and post-issuance services, including acting as paying agent.
Dumitru Baxan, Deputy Head of Corporate Activity, maib:
“We are honored to financially mediate this project, which has a direct impact on the quality of life of the inhabitants of Costești. We know how important investments in rural areas are for stimulating the local economy and we are pleased to offer such modern opportunities with attractive returns for the community and investors. I am convinced that this project will become a benchmark of best practice for other localities in the Republic of Moldova that wish to attract investment for the development of priority sectors in rural areas, and the maib team will contribute its full expertise and professionalism to the implementation of this program. I would like to thank the Costești Town Hall for their trust and Expert-Grup for their support to the local authorities.”
This initiative is part of the project "Local government bonds - as a measure to increase local autonomy", implemented by Expert-Grup with the support of the Embassy of the Kingdom of the Netherlands in the Republic of Moldova. The project aims at strengthening the financial capacity of local public authorities and promoting transparency in the management of public resources.
Adrian Lupușor, Executive Director, Independent Analytical Center, “Expert-Grup”:
„Municipal bonds are gradually becoming a feasible instrument for local public authorities to mobilize financial resources for infrastructure projects, but also an attractive option for investors, thanks to the low level of risk and attractive interest rates. I am glad that Costești Town Hall is joining the club of municipal bond issuers and that maib is assuming the role of financial intermediary for this operation. Expert-Grup, with the support of the Embassy of the Netherlands in Chisinau, will continue to promote and support municipal bond issues, which bring clear advantages for municipalities, investors and the financial market in general”.
Maib is an active promoter of modern financial instruments and capital market development, aiming to attract investment and develop a sustainable local economy through responsible and transparent financial solutions.
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