FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com


Join the forum, it's quick and easy

FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com
FINANCIAL CHRONICLE™
Would you like to react to this message? Create an account in a few clicks or log in to continue.
FINANCIAL CHRONICLE™

Encyclopedia of Latest news, reviews, discussions and analysis of stock market and investment opportunities in Sri Lanka

LISTED COMPANIES

Submit Post



Poll

Can there be another Covid-19 wave in Sri Lanka?

How Govt. can reduce existing sovereign debt and debt-to-GDP ratio Vote_lcap68%How Govt. can reduce existing sovereign debt and debt-to-GDP ratio Vote_rcap 68% [ 178 ]
How Govt. can reduce existing sovereign debt and debt-to-GDP ratio Vote_lcap18%How Govt. can reduce existing sovereign debt and debt-to-GDP ratio Vote_rcap 18% [ 47 ]
How Govt. can reduce existing sovereign debt and debt-to-GDP ratio Vote_lcap13%How Govt. can reduce existing sovereign debt and debt-to-GDP ratio Vote_rcap 13% [ 35 ]

Total Votes : 260

STOCK MARKET TRAINING
ශ්‍රී ලංකා මූල්‍ය වංශකථාව - සිංහල
Submit Post


CONATCT US


Send your suggestions and comments

* - required fields

Read FINANCIAL CHRONICLE™ Disclaimer



Latest topics

» In the vicinity listing of LOCH – “LOLC CEYLON”
by bizstock Today at 1:55 pm

» PEOPLE'S INSURANCE PLC (PINS.N0000)
by Ekanayake90 Today at 12:52 pm

» Lanka Milk Foods - LMF
by buddikasmart Today at 11:58 am

» HEMAS HOLDINGS PLC (HHL.N0000)
by Nandun Today at 11:35 am

» LOFC AND CLC Target Price??
by bizstock Today at 9:55 am

» Commodities boom, tourism hopes fuel South-east Asia stock rally
by ResearchMan Today at 6:15 am

» NP IN TWEETER
by bizstock Today at 2:29 am

» Water For All - CIND
by LHW Yesterday at 9:40 pm

» CFLB.......COLOMBO FORT LAND PLC
by skyfall Yesterday at 2:42 pm

» KOTAGALA PLANTATION PLC (KOTA.N0000)
by Equity Win Yesterday at 1:26 pm

» LIOC WILL HIT TO 38+++
by Wickyz Yesterday at 12:24 pm

» Country full open keep eye on llub
by rukshan1234 Yesterday at 11:21 am

» EXPOLANKA HOLDINGS PLC (EXPO.N0000)
by samaritan Yesterday at 10:57 am

» Fertilizer issue over !! Buy plantations
by Maharaja Yesterday at 10:36 am

» Today is the Best - Day to buy CLC ..!
by Sapudev Yesterday at 10:11 am

» Good morning everyone... Today is the day...
by Vishwanarth Yesterday at 9:39 am

» EXPO/BILL/LOLC
by arun.cse Yesterday at 8:59 am

» TIME TO PICK DOLLAR EARNING AND DIVIDEND PAYING COMPANIES? :D
by cseguide Thu Oct 14, 2021 10:37 pm

» SUNSHINE HOLDINGS PLC (SUN.N0000)
by LHW Thu Oct 14, 2021 9:47 pm

» BIL BEST BUY
by Niwa Thu Oct 14, 2021 8:09 pm

EXPERT CHRONICLE™

MARKET CHAT


CHRONICLE™ ANALYTICS


ECONOMIC CHRONICLE

GROSS DOMESTIC PRODUCT (GDP)


CHRONICLE™ YouTube

LATEST TWEETS

You are not connected. Please login or register

FINANCIAL CHRONICLE™ » CORPORATE CHRONICLE™ » How Govt. can reduce existing sovereign debt and debt-to-GDP ratio

How Govt. can reduce existing sovereign debt and debt-to-GDP ratio

Go down  Message [Page 1 of 1]

Quibit


Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
A financial services expert has mooted the setting up of a fund with support of the IMF, the World Bank and other lending agencies to buy back Sri Lanka’s sovereign bonds and reduce the total outstanding debt.

As an example, he cited investing $ 5.5 billion to retire or own $ 10 billion of debt at a vast discount.

“This,” says Mangala Boyagoda, “will enable the Government to reduce the foreign debt and consequently improve debt-to-GDP ratio of 82% and thereby increase future borrowing capacity.”

His suggestions are following global financial markets, both debt and equity, suffering heavy losses due to the new coronavirus (COVID-19) global pandemic and uncertainty over the near-term economic trajectory of countries.

“Emerging markets took a heavy toll with EM bond funds exiting from Non-Investment Grade debt, which has exerted significant pressure on EM bond prices and liquidity,” said Boyagoda who is a veteran banker.

Consequently, EM sovereign bond yields rose significantly due to panic selling by investors of EM sovereign bonds.

As a result, says Boyagoda, the Sri Lanka International Sovereign Bonds (ISBs) with 2030 and 2029 maturities with a par value of $ 100 were trading at $ 55, reflecting an unprecedented yield to maturity of 18%.

He said Sri Lanka sovereign bonds trading at $ 55 offered an opportunity to buy back these bonds at nearly half the price. The total outstanding stock of SL ISBs is around $ 15.05 billion at present. ISBs represent the largest proportion of Sri Lanka accounting for around 45% of GOSL total foreign debt, added Boyagod

Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum