Maldives, for the first time, has sold sovereign bonds in the international market.

Finance Ministry reported that bonds worth US$ 200 million were sold on Wednesday in Singapore.

A statement released by the Ministry stated that subscribers had doubled a short while after the bonds were issued.

‘The bonds were listed on Singapore Stock Exchange. When the Maldives offered bonds, investors had responded favorably, with over US$ 400 million proposed by investors,’ the statement read.

The bonds are priced at a 7 percent coupon rate. This rate is comparable to new entrants to bond markets and at the same level as nations with an equal credit rating, said Finance Ministry.

The statement added that the Government will be seeking to implement more measures to improve the nation’s credit rating. This, the statement said, in turn will increase investor confidence in the Maldives, lower the yield on bonds. The US$ 200 million earned from the bonds, will be used to finance the development projects listed in the 2017 budget.

Finance Ministry described the move by the Government to increase funds for the nation as one of the key steps for the nation, adding that this was a sign that Maldives was moving towards financial stability.

Finance Ministry added that the response of the investors showed that Maldives still had the trust of investors and that this will open the Maldives to newer forms of financing.