ASEAN bond sales set to hit record in 2013

ASEAN bourseBond sales of companies from ASEAN countries are likely to rise at least 20 per cent from last year’s $101 billion of credit notes issued in local and foreign currency, mainly US dollars, Malaysia’s CIMB Group said in a statement. This would mean an eighth straight year of record bond sales in the region as it has been increasingly able to finance itself as opposed to opt for credit from international organisations such as the IMF or the World Bank.

New multi-billion bonds are expected this year from Thailand’s PTT Global Chemical, Indonesia’s PT Bank Rakyat and Singapore’s Keppel Corporation, among others, according to Bloomberg.

New bond issues increased five-fold since 2000 after ASEAN countries recovered from the 1997/98 debt crisis and restructured their financial services sector.

Financing through bonds will not only be used for company expansion, but also to finance infrastructure projects in the region. According to the ASEAN Secretariat, the bloc needs financing of $60 billion annually over the next ten years to upgrade or built new infrastructure.

The total value of outstanding government and corporate bonds in the region rose to $1.1 trillion last year from $218 billion in 2000, according to the Asian Development Bank. Local investors hold 88 per cent of domestic government notes in the Philippines, 85 per cent in Thailand and 73 per cent in Malaysia, its data show. The proportion held by investors from other Asian countries rose to 9.4 per cent in 2011 from 4.2 per cent in 2001.

 



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

$
Personal Info

Donation Total: $10.00

 

 

Bond sales of companies from ASEAN countries are likely to rise at least 20 per cent from last year’s $101 billion of credit notes issued in local and foreign currency, mainly US dollars, Malaysia's CIMB Group said in a statement. This would mean an eighth straight year of record bond sales in the region as it has been increasingly able to finance itself as opposed to opt for credit from international organisations such as the IMF or the World Bank. New multi-billion bonds are expected this year from Thailand's PTT Global Chemical, Indonesia's PT Bank Rakyat and Singapore's Keppel Corporation,...

ASEAN bourseBond sales of companies from ASEAN countries are likely to rise at least 20 per cent from last year’s $101 billion of credit notes issued in local and foreign currency, mainly US dollars, Malaysia’s CIMB Group said in a statement. This would mean an eighth straight year of record bond sales in the region as it has been increasingly able to finance itself as opposed to opt for credit from international organisations such as the IMF or the World Bank.

New multi-billion bonds are expected this year from Thailand’s PTT Global Chemical, Indonesia’s PT Bank Rakyat and Singapore’s Keppel Corporation, among others, according to Bloomberg.

New bond issues increased five-fold since 2000 after ASEAN countries recovered from the 1997/98 debt crisis and restructured their financial services sector.

Financing through bonds will not only be used for company expansion, but also to finance infrastructure projects in the region. According to the ASEAN Secretariat, the bloc needs financing of $60 billion annually over the next ten years to upgrade or built new infrastructure.

The total value of outstanding government and corporate bonds in the region rose to $1.1 trillion last year from $218 billion in 2000, according to the Asian Development Bank. Local investors hold 88 per cent of domestic government notes in the Philippines, 85 per cent in Thailand and 73 per cent in Malaysia, its data show. The proportion held by investors from other Asian countries rose to 9.4 per cent in 2011 from 4.2 per cent in 2001.

 



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

$
Personal Info

Donation Total: $10.00

 

 

NO COMMENTS

Leave a Reply