Global
South Africa raises benchmark rate, but will it halt the bond rout?
The country’s central bank has raised interest rates to stem rising inflation. The move has been long overdue, with investors having considered pricing in an interest rate hike into markets earlier in the month. The bank’s action may also have the potential to halt the rout in the country’s bond market.
1 Feb 2016
Saudi Arabia hints at oil output cut
The possibility of Saudi Arabia cutting its oil output has seemed unlikely since attempts to cut output levels at OPEC failed in December last year. But the strain faced by all oil producing countries, even heavyweights like the Kingdom, may lead to an agreement in the near future.
1 Feb 2016
Nigeria to debut sovereign sukuk in May
African sukuk issuances have been rare in the past. Recently, some countries in the region including Nigeria have considered sukuk offerings to broaden their access capital, but appetite may be low with the region under pressure fiscally from low oil prices.
29 Jan 2016
HSBC: EM green bonds to double in value by end of year
The value of outstanding green bonds could double in value according to HSBC to between US$133bn and US$158bn by the end of the year. The company predicts green bond issuances will increase over last year from between 32% to 91%, or from US$51bn to US$80bn.
29 Jan 2016
A Nigerian sukuk could outperform its Eurobonds
Nigerian Eurobonds are providing investors with high yields, but they come with added risk due to the state of Nigeria’s economy. The country is trying to stem a revenue loss from low commodity prices. Further Eurobond issuances are planned but are likely to be affected by oil woes. A sukuk issuance in May could fare better.
29 Jan 2016
Ecuador snags loan from ICBC
Ecuador recently has remained heavily dependent on a lifeline provided by China. However, with a slowdown in the East and falling commodity prices, the Latin American nation may struggle to repay its loans, bringing back memories of its 2008 default.
29 Jan 2016
Russian bank VTB could buy back yet more of its Eurobonds
VTB has had a recent trend of buying back its bonds, and recent hints that it could do so again raises questions over how the bank is coping under western sanctions and low commodity prices.
28 Jan 2016
Emerging market borrowing costs hit 5 year high
Investors warned that emerging markets could face a new credit crunch with borrowing costs reaching their highest levels in five years.
26 Jan 2016
China to flood the Middle East with billions in loans
China, as the world’s second largest economy is largely dependent on oil and gas imported from the Middle East. This week the country announced that US$55bn in investments and loans would be made available for the Arab region, which it has traditionally ignored.
26 Jan 2016
Polish bonds slip in wake of downgrade
For the first time since Standard & Poor’s began rating Poland’s credit in 1996, the agency has downgraded the country and also warned of potential further cuts, adversely affecting Polish bonds in the days that followed.
21 Jan 2016