Sovereign Issuer of the Year: Dominican Republic

Sovereign Issuer of the Year: Dominican Republic

Days before this country approached the international bond markets in February 2018, global stock indices were roiling.

The Dow Jones Industrial Average plunged more than a thousand points and the rout rippled across stock markets around the world as investors worried about inflation and nervously watched the bond market, where yields were creeping higher.

Three days later this sovereign launched a dual-tranche offering that included a 2023 local currency bond, marking its debut under the Euroclear format. It also launched a $1 billion, 30-year cross-border bond.

The local currency transaction was the first global local currency bond from a non-investment grade sovereign issuer in Latin America. The sale drew strong investor appetite, printing the lowest coupon ever for bond in its own local currency. The deal represented the lowest yield ever for a 30-year benchmark bond from this country.

Please put your hands together for this year’s winner of the award for sovereign issuer of the year, the Dominican Republic.