Sberbank CIB: Russia may offer new Eurobonds in March - News Archive - PRIME Business News Agency - All News Politics Economy Business Wire Financial Wire Oil Gas Chemical Industry Power Industry Metals Mining Pulp Paper Agro Commodities Transport Automobile Construction Real Estate Telecommunications Engineering Hi-Tech Consumer Goods Retail Calendar Our Features Interviews Opinions Press Releases

Sberbank CIB: Russia may offer new Eurobonds in March

MOSCOW, Feb 27 (PRIME) -- The Finance Ministry may offer new Eurobonds already in March in the wake of improvement of Russias rating to an investment grade by international rating agency Standard & Poors (S&P), Alexander Kudrin, head of Sberbank CIBs debt markets research department, said in a research note on Tuesday.

On February 24, S&P raised Russias long-term and short-term sovereign credit rating to investment grade BBB- from a speculative BB+. On the same day, international rating agency Fitch affirmed Russias ratings at BBB- with a positive outlook.

Taking into account the increase of Russias rating to an investment grade by S&P and a continuous growth of the yield on U.S. treasuries, we suppose that the ministry wont delay the placement (of new Eurobonds) and will hold it already in March, Kudrin said.

This year the ministry plans to offer $3 billion new Eurobonds in 2018 and swap up to $4 billion of old Eurobonds with newer issues.

Kudrin also said that the ministry may offer long-term instruments, more likely with maturity of 1530 years as the market is already saturated with Eurobonds maturing in 810 years. Demand for sovereign securities is still high, which is demonstrated by a 1percentage point growth in quotations of long-term securities following the S&Ps decision, he said.

That is why we suppose that the Finance Ministry will easily place the whole amount of the Eurobond offer with a minimum premium to the secondary market of 310 basis points, he said, adding that the ministry will likely try to buy back the Russia30 Eurobonds like it did last year.

End

27.02.2018 19:26
 
 
Share |
To report an error select text and press Ctrl+Enter
 
 
Central Bank Official Rate
1W 1M 1Y
USD
EUR 75.1825 -0.1393 21 nov
USD 65.5871 -0.4210 21 nov
Stock Market Indices
1D 1W 1M 1Y
MICEX
rtsi 1118.94 +0.19 12:29 21 nov
micex 2342.03 +0.02 12:29 21 nov
Stock Quotes in RUR
1D 1W 1M 1Y
GAZP
gazp 151.50 -0.01 12:13 21 nov
lkoh 4780.50 -0.60 12:13 21 nov
rosn 413.60 +0.01 12:13 21 nov
sber 194.53 +0.16 12:12 21 nov
MICEX Ruble Trading
1D 1W 1M 1Y
USDTD
EURTD 75.1000 +0.1275 12:13 21 nov
USDTD 65.8700 +0.1225 12:13 21 nov