LONDON, Feb 23 (Hina) - The euro-bond of the Republic of Croatia was placed on the European financial markets on Tuesday afternoon, a manager with the investment house Dresdner Kleinwort Benson, Richard Cohill, said in London today.
The bond was placed on the market with a price of 375 basic points above the level of bonds of main debtors, Cohill said. Asked why Croatia had to pay such a high price, which is inappropriate for its status and its nominal credit rating, Cohill said it was because of the insufficient debtor history of the country. However, he admitted that the price Croatia was paying was comparable to that paid by Mexico and Argentina, countries with speculative credit ratings, whose debtor history is burdened with cases of financial collapse. Croatia decided on euro-borrowing because most of its trade is being conducted with countries from the euro zone, Cohill said. The Croatian euro-bond amounts
LONDON, Feb 23 (Hina) - The euro-bond of the Republic of Croatia was
placed on the European financial markets on Tuesday afternoon, a
manager with the investment house Dresdner Kleinwort Benson,
Richard Cohill, said in London today.
The bond was placed on the market with a price of 375 basic points
above the level of bonds of main debtors, Cohill said.
Asked why Croatia had to pay such a high price, which is
inappropriate for its status and its nominal credit rating, Cohill
said it was because of the insufficient debtor history of the
country.
However, he admitted that the price Croatia was paying was
comparable to that paid by Mexico and Argentina, countries with
speculative credit ratings, whose debtor history is burdened with
cases of financial collapse.
Croatia decided on euro-borrowing because most of its trade is
being conducted with countries from the euro zone, Cohill said.
The Croatian euro-bond amounts to euro 300 million (about 2.2
billion kuna). Its maturity date is March 2006.
(hina) rml