June 8, 2006
Ecuador is to buy back its outstanding 2012 bonds by January, ahead of the
Ecuador is to buy back its outstanding 2012 bonds by January, ahead of the new government assuming power. There are currently $510 million of the 2012 bonds, the sovereign's most expensive debt, in circulation. Last month the government bought back $740 million of the 12% bonds to save an estimated $20 million a year in debt payments. Ecuador is likely to tap the international bond market later this year; the government has been authorized to issue up to $900 million of new debt.