To fund needs for the 2023 period and replace or buy back existing bonds maturing in 2024, Colombia has launched a new global bond offering maturing in 2034 for a total amount of USD 2.2 billion.
These funds will be allocated as follows: USD 1,667 million to finance the nation for the 2023 term and USD 533 million to partially replace USD 401 million of the Global Bond due February 2024 and USD 132 million of the Global Bond expiring in May 2024.
The issue reached orders of nearly USD 9,000 million at its peak, which is four times what was issued, and had a robust and high-quality book.
According to the Ministry of Finance, this confirms the good appetite of the international market for Colombian debt, even in a global environment of lower economic growth, in which Colombia is gaining the confidence of a broad and diversified group of investors.
“The strong demand for operations is part of a proactive financing strategy and prudent and responsible management of our public finances, where it has been possible to collect debts maturing within the next 16 months and replace them with debts with a maturity of 11 years , limiting the risk of refinancing,” said Finance and Public Credit Minister José Antonio Ocampo.
He explained that the liability management operation reduces refinancing risk and contributes to improving the external debt profile, extending the average maturity of the dollar bond portfolio.
Source: El heraldo
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