Maldives sees higher growth lowering future bond borrowing costs

12 Jun, 2017

Strong economic growth in the Maldives is expected to help lower the nation's borrowing costs in future, the government said on Tuesday, after the Indian Ocean archipelago raised $200 million via a debut sovereign bond last week. The government issued the 5-year bond with a coupon of 7 percent, with Hong Kong-based BoCom International Holdings Co Ltd acting as the sole global coordinator for the offering.
"The government thinks this is a fair coupon rate for international investors whilst remaining affordable for the Maldives. It is in fact a robust rate if we look at similar recent offerings," a government spokesperson said in a statement emailed to Reuters.

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