The Netherlands Development Finance Company (FMO) sold the first offshore Bolivian boliviano bond last Friday. The currency-linked bond was structured by the Currency Exchange Fund (TCX), of which FMO is a part owner, and is part of a wider push to develop frontier capital markets.
“We wanted to attract interested investors and set a benchmark for the currency cost of funds,” said Othman Boukrami, head of trading at TCX.
“Any investors looking to invest in Bolivia would be interested to see the risk-free cost of funds in bolivianos. Currently they can look at local government bonds, but