(COLOMBO, LANKAPUVATH) –Sri Lanka, for the first time is planning to issue ‘Panda,’ and ‘Samurai’ bonds this year, the Governor of Central Bank Indrajit Coomaraswamy has said.
In an interview with the OSL – ‘Opportunity Sri Lanka’ business magazine published by TTv Media Hub, the Governor has noted that at present Sri Lanka’s debt is assessed against the US Dollar and Euro bonds. However, due to rising interest rates in Europe and the United States, the Central Bank is exploring East Asian bonds.
The Governor said the People’s Bank of China has set up a joint team with the Central Bank of Sri Lanka, and that team has contributed to the release of its first-ever $ 250 million Chinese renminbi-denominated Panda bond.
In September, the Central Bank plans to issue US$ 250 million Yen-denominated Samurai Bonds with the guarantee of the Japan Bank for International Cooperation.
These two bond issues and the recent US$ 1 billion concessionary loan from China Development Bank, will help to raise Sri Lanka’s gross official reserves to US$ 9 billion by the end of the year, the Central Bank Governor said.