Sri Lanka sells US$ 2.5 billion sovereign bonds after getting US$ 7.5 billion subscriptions
Sri Lanka has reportedly sold US$ 2.5 billion of 5 and 10 year sovereign bonds at rates of 6.85 percent and 7.85 percent, after getting US$ 7.5bn in subscriptions.
Bloomberg Newswire has stated that U$ 1 billion of five year bonds were sold at 6.85 percent and US$ 1.4 billion of 10-year bonds were sold at 7.85 percent.
According to reports, the bond sale was launched with price guidance of around 7.2 to 8.2 percent.
The five year bond had drawn subscriptions of US$ 2.7 billion from 190 investors and the 10 year US$ 4.8 billion from 252 investors, Bloomberg has stated.
In April 2018, Sri Lanka sold US$ 1.25 billion of five year sovereign bonds at 5.75 percent and US$ 1.25 billion of 10 year sovereign bonds at 6.75 percent.
OSL take:
The sale of sovereign bonds by the Central Bank of Sri Lanka is an opportunity to invest in the country for foreign businesses/investors. The continuous growth recorded by the country’s economy would have a positive impact on bonds as well.
| Article Code : | VBS/AT/12032019/Z_2 |