Days after IMF boss, Christine Lagarde, heaped praises on the Simpson-Miller administration’s implementation of the 4 year IMF programme, the government had more good news today from international investors.
According to the Head of Institutional Emerging Markets Fixed Income Sales at US investment bank Oppenheimer and Company, Greg Fisher, Jamaica’s new US dollar bond is seen as a milestone in the country’s economic recovery.
The bond, which was intended to raise just over half a billion US dollars, saw international investors placing nearly $US3.6B in orders earlier today.
As a result, the government decided to up the offer to $US800M.
It’s the country’s first new international benchmark bond since 2008, and comes 1 year into the IMF program and the restructuring of two domestic bonds in the last four years.
Mr. Fisher says it’s the best received bond offer by Jamaica in recent times.
Mr. Fisher says the offer reflects a new level of sophistication.
He says several factors have accounted for the favorable response of the international capital market.
The proceeds will repay a 150-million US dollar bond maturing this year, as well as refinance other indebtedness of the government and fund new investments.
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