Thursday, 21 January 2010

RP may double Samurai bond issue to $1 B

Manila Bulletin

The Philippine government may sell yen bonds worth up to $1 billion next month and the final amount will be determined by investor interest and state finances, the Department of Finance said Wednesday.

The country will also hold a non-deal roadshow in Europe in March to gauge appetite for Philippine assets. While it has no specific plans for a eurobond issue, such a deal is an option, said Rosalia de Leon, head of the finance department's international finance group.

News of a yen bond sale and a potential euro deal pushed up domestic bond prices slightly on relief the government would tap the offshore market rather than the local market for funding.

The Philippines wants to meet its offshore debt needs ahead of May national elections, which may raise uncertainty about government policy and the fiscal outlook and therefore prompt investors to demand higher returns for risking their capital.

No comments:

Post a Comment