Mongolia counts on loan as bond investors look the other way

Mongolia Nadaam festival
By Shruti Chaturvedi
10 Mar 2016

The government of Mongolia is making its debut in the syndicated loan market, launching a $200m dual-trancher after plans for a bond fell through due to pricing issues. While the country’s heavy reliance on commodities makes it a risky bet, bankers reckon the development of a copper mine project and its potential income gives its outlook a boost. Shruti Chaturvedi reports.

The sovereign, through its Ministry of Finance, has mandated Credit Suisse for the fundraising which was opened into syndication last week. But the fundraising plans have been a while in the making, as this is not the country’s first attempt at accessing international capital markets this year.

Mongolia ...

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