July 19, 2016 |
For some Caribbean countries, a window of opportunity may be opening in the bond markets. The Dominican Republic, one of the region’s largest economies, tapped investors in January, issuing a $1 billion, 10-year bond and capitalizing on its recent efforts to put its fiscal house in order. The island nation reopened the bond in late June, adding $500m at a tighter yield.
Jamaica also has piqued investor interest, and Caribbean nations have watched as countries in nearby Central America, such as Guatemala, have sold international debt in recent months.
Trinidad and Tobago could be the next Caribbean country to test the markets. But others face difficult economic challenges with high debt level
Regional sovereigns are increasingly looking at international bonds to raise financing, but investors may prove hard to entice