LatAm issuers test resilience as local currencies fall

LatAm issuers test resilience as local currencies fall

Asset Management Bonds Debt Capital Markets Corporate & Sovereign Strategy Debenture Economy & Policy Equity Fixed Income Funds Structured Finance United States Argentina Brazil Bolivia Chile Ecuador Colombia Peru Latin America

Latin American bond issuers are bracing themselves to face rising financing costs as local currencies fall against the US dollar, another fallout from the coronavirus crisis that has punished stock markets and oil prices in recent weeks, market sources told LatinFinance. "When you have a weak and dysfunctional currency, the cost of funding goes up because, in addition to the credit risk, there is an additional risk, which is the vulnerability of the issuer's own currency," said Gabriel Gersztein

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