Bond

Fitch Ratings has assigned the Republic of Portugal’s USD4.5bn bond a ’BB+’ rating. The bond has a coupon of 5.125% and is due 15 October 2024.

The African Development Bank (AfDB), a leading multilateral development bank, rated Aaa/AAA/AAA, and Nomura, Asia’s global investment bank, have finalized the terms of secondary distribution of AfDB’s food security bonds to Japanese retail investors.

Mario Draghi’s communication skills have proved exceptionally effective. Since the famous “whatever it takes” in 2012, yields for peripheral sovereign debts have converged sharply towards levels for German debt. Yields for BTPs, Bonos and IGBs sit at record lows.

The strong demand in the primary market confirms what is already well known: whatever the inflation expectations, there is significant structural demand, notably from “buy and hold” investors such as pension funds, for bonds indexed to inflation.

Today, the World Bank (International Bank for Reconstruction and Development, IBRD), rated Aaa/AAA (Moody’s/S&P), and Nomura, Asia’s global investment bank, finalized the terms of secondary distribution of World Bank Green Bonds for Japanese retail investors.