Emerging sovereigns set for borrowing binge but weaker names struggle - Reuters:
A flurry of international debt issuance by investment-grade emerging market sovereigns in 2020 should help offset a dearth of sales by lower-rated names, barred from capital markets until they can muster support in the form of debt relief or emergency funding.
Gulf governments such as Qatar, Abu Dhabi and Saudi Arabia, have provided a significant chunk of 2020 bond sales so far, accounting for around half of the sovereign emerging sales as they scrambled to raise cash to plug budget shortfalls caused by plunging oil prices.
Israel and Indonesia have also raised money in the wake of the COVID-19 outbreak.
With $100 billon already issued year to date, despite a drought in March, emerging sovereign debt issuance could surpass the record of $178.3 billion in 2017, said Stefan Weiler, head of Central and Eastern Europe, Middle East and Africa debt capital markets at JPMorgan.
No comments:
Post a Comment