LONDON, Oct 8 (Reuters) - After a slow start to the year,
when the world was still reeling from the impact of the global
financial crisis and the collapse of Lehman Brothers, the pace
of emerging sovereign Eurobond issuance has picked up.
Emerging sovereign debt spreads are little more than 300
basis points over U.S. Treasuries <11EMJ>, after tripling to 900
bps in the wake of the Lehman collapse. Many benchmark bond
yields are back at pre-crisis levels.
But the emphasis is still on higher-rated sovereign
borrowers, rather than corporate issuers.
Around $125 billion was issued in emerging Eurobonds by
end-Sept, and there will be at least $20 billion more before the
end of the year, Commerzbank analysts say.
Lithuania raised a $1.5 billion Eurobond this week, despite
a resurgence of economic troubles in Baltic neighbour Latvia,
and Poland detailed plans for new issuance. []
[]
Following is a summary of proposed international bonds from
sovereign and quasi-sovereign borrowers in central and eastern
Europe and the Middle East, with indications of existing
Eurobond yields where applicable.
(OFFICIAL) indicates confirmed by borrower.
----------------- CENTRAL, EASTERN EUROPE----------------
-------------------- BOSNIA ----------------------------
BOSNIA - Bosnia will issue a bond in December to repay 223.2
million euros to the London Club of commercial creditors, the
finance ministry said on July 27. (OFFICIAL)
--------------------BELARUS------------------------------
BELARUS - Belarus may issue its delayed $500 million maiden
Eurobond this year and expects the yield to be around 12
percent, the head of major state-controlled bank Belarusbank,
Nadezhda Yermakova said on July 7.
-------------------- CROATIA ----------------------------
CROATIA - Croatia will this week choose banks to help
implement the last of its borrowing this year, a finance
ministry source said on Sept 21.
Croatia's euro-denominated Eurobond due 2011
<HR012612150=RRPS> is trading at a yield of around 3.529
percent, compared with 5.016 percent in early Sept, 2008.
--------------------CZECH REPUBLIC ----------------------
CZECH REPUBLIC - The Czech Republic is not planning another
euro-denominated bond before the end of the third quarter but
cannot rule out a sale this year, Finance Minister Eduard Janota
said on May 11. (OFFICIAL)
The Czech Republic's euro-denominated Eurobond due 2018
<CZ036880007=RRPS> is trading at a yield of around 4.241
percent, compared with 4.697 percent in early Sept 2008.
-------------------HUNGARY-----------------------------
HUNGARY - Hungary plans to issue a 1 billion euro bond in
the first half of 2010, but may consider issuing in dollars,
finance minister Peter Oszko said on Sept 18. (OFFICIAL)
Hungary's 1 billion euro 2018 Eurobond <HU016166731=> is
yielding 4.254 percent, compared with 5.119 percent in early
Sept 2008.
------------------ KAZAKHSTAN ----------------------------
ALLIANCE - Kazakh bank Alliance said on Oct 6 it had signed
a debt restructuring agreement with its creditors' committee.
The bank is seeking to restructure $4.2 billion in debt, and the
government plans to take over the bank once it completes
restructuring. (OFFICIAL)
BTA - Kazakh state-run bank BTA has until Dec 7 to finalise
its $10 billion debt restructuring deal, the banking regulator
said on Oct 1.
------------------ LITHUANIA ------------------------------
LITHUANIA - Lithuania may borrow more next year to finance
its budget deficit, prime minister Andrius Kubilius said on Oct
7, after the country issued a $1.5 billion five-year bond.
(OFFICIAL)
Lithuania's euro-denominated bond due 2012 is trading at a
yield of 5.177 percent <LT014745980=RRPS>, compared with 4.933
percent in early Sept, 2008.
--------------------- POLAND ------------------------------
POLAND - Poland's finance ministry plans a Eurobond private
placement totalling around 1.0 billion euros in October, a
yen-denominated bond in October or November and a benchmark
public euro bond in 2010, deputy finance minister Dominik
Radziwill said on Oct 8. (OFFICIAL)
Poland's euro-denominated bond due 2012 is trading at a
yield of 2.597 percent <PL014423800=RRPS>, compared with 4.714
percent in early Sept, 2008.
-------------------ROMANIA ---------------------------
ROMANIA - Romania plans to launch a eurobond worth up to 1.5
billion euros in the first half of Oct 2009, a finance ministry
official said on Sept 21. (OFFICIAL)
Romania's 750 million euro 2018 Eurobond is yielding 6.299
percent <RO037116360=RRPS>, compared with 6.019 percent in early
Sept 2008.
------------------RUSSIA------------------------------
RUSSIA - Russia is holding a roadshow in early November in
London for plans to borrow around $60 billion in 2010-2012 and
has already seen huge investor interest in its plans, deputy
finance minister Dmitry Pankin said on Oct 6. (OFFICIAL)
Russia will complete a swap of $700 million of outstanding
Soviet commercial debt this year and will issue an exchange
offer in the first half of November, the finance ministry said
on Oct 5. (OFFICIAL). The move will bring the country one step
closer to returning to the Eurobond market after a decade's
absence.
Russia's benchmark 2030 bond <RUSGLB30=RR> is yielding 5.409
percent, compared with 5.757 percent in early Sept 2008.
GAZPROMNEFT - Russia's GazpromNeft, the oil arm of gas
export monopoly Gazprom, plans to issue a $500 million to $1
billion Eurobond in the coming months, the company said on June
10. (OFFICIAL)
RUSSIAN AGRICULTURAL BANK - Russian state-owned farm
industry lender Russian Agricultural Bank (Rosselkhozbank) said
on June 8 it may issue another Eurobond of up to $1 billion this
year, after it issued a $1 billion deal earlier in the month.
(OFFICIAL)
RZhD - Russian state railway RZhD said in Nov 2008 it would
not go ahead with plans for a Eurobond of up to $4 billion until
the second half of 2009. (OFFICIAL)
---------------------- SERBIA -----------------------------
SERBIA - Serbia hopes to issue a 500 million euro bond in
2010, the Debt Management Agency's chief said on Sept 23.
(OFFICIAL)
----------------------- UKRAINE ----------------------------
UKRAINE - Ukraine will look at the possibility of Eurobond
issuance when it discusses its 2010 budget, acting finance
minister Ihor Umansky said on Sept 29. (OFFICIAL)
NAFTOGAZ - State energy firm Naftogaz defaulted on a
five-year $500 million Eurobond on Sept 30 but is in talks to
restructure the bond and other debt through a $1.65 billion
five-year bond with sovereign guarantee, to launch late Oct.
(OFFICIAL)
-------------------MIDDLE EAST--------------------------
-------------------- IRAN -------------------------------
IRAN - Iran will issue a 1.5 billion euro sukuk in about six
months, finance minister Shamseddin Hosseini said on Oct 6.
(OFFICIAL)
------------------ISRAEL----------------------------
ISRAEL - Israel will shortly start discussions on a
potential Eurobond offering of up to 1 billion euros, a ministry
source said on Oct 1.
------------------ LEBANON------------------------
LEBANON - There is a possibility Lebanon will conduct
foreign currency borrowing to cover maturing issues towards the
end of 2009, caretaker finance minister Mohammad Chatah said on
July 9. (OFFICIAL)
Lebanon completed a debt swap in March for around $2.3
billion of foreign currency debt maturing this year.
(Compiled by Carolyn Cohn; Editing by Toby Chopra)
(carolyn.cohn@reuters.com; Reuters Messaging
carolyn.cohn.reuters.com@reuters.net; +44 207 542 6320))
