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Switch auctions to make comeback as DMO chief discusses record breaking deal and 2026-27 funding
◆ Sovereign breaks BTP orderbook record again ◆ Demand was huge, but not because price was cheap ◆ Curve stability despite addition of jumbo 10 year
◆ Biggest and most popular green OAT ever ◆ Third and final syndication came earlier than in previous years ◆ Leading position in green bonds and EGB market affirmed
◆ First of seven syndications breaks multiple records ◆ Investor engagement and communications helped stable execution ◆ Smaller programme this year but ‘still a lot’ to tackle
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After a turbulent summer, South Africa swept in for its biggest ever bond issue on Thursday, taking $3bn with a dual tranche 12 and 30 year bond. The deal was a yield hunters dream and proved that investors are willing to put aside concerns of an impending downgrade, and political infighting, for a decent return.
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Oman locked down $1.5bn this week, pricing “wisely” with a decent new issue premium and kicking off a busy few weeks of issuance from the Gulf Corporation Council’s oil rich, but cash poor, sovereigns as Bahrain and Saudi Arabia ready trades.
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Romania achieved a wafer-thin new issue premium for a €1bn reopening of its May 2028s on Wednesday, setting a good precedent in euros for Latvia which mandated for a 10 year deal on Thursday.
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European policymakers are working on a plan to create synthetic pan-European bonds backed by a pool of member state sovereign debt, giving the continent and its banks a more stable supply of safe assets.
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Romania achieved a wafer-thin new issue premium for a €1bn reopening of its May 2028s on Wednesday.
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The Islamic Republic of Pakistan is returning to the international debt market for a dollar sukuk after a gap of two years.