Peruvian government receives international recognition for issuance of 101-year bonds

In recognition of the bond issuance made by the Ministry of Economy and Finance (MEF) with a total amount of US $ 4,000 million to finance the expenses of the health emergency, the Peruvian Government received the “Sovereign, Supra & Agency Bond Deal of the Year” award at the Bonds & Loans ceremony of Latin America and the Caribe, held earlier this month.

In November 2020, the MEF announced the offer in the international market of three global bonds in dollars with maturities of 12, 40 and 101 years, receiving a demand that exceeded, at its best, US $ 15,000 million, four times the amount placed, coming from orders of more than 240 foreign investors.

It should be noted that Global Bond 2121, with a 101-year term, is the longest-term bond ever issued by Peru and in the world. “Its placement was a demonstration of investor confidence due to the solid economic policy carried out by Peru, after having overcome a short period of political instability at that time.”, Highlighted the MEF.

The award ceremony was attended by the General Director of the MEF Public Treasury, representing Peru, who commented that “The bond issuance that includes the 101-year bond made it possible to capture the necessary resources to meet the higher expenses caused by the health emergency of COVID-2019, at a competitive cost for the Republic”.

The GFC Media Group’s Bonds & Loans Award ceremony for Latin America and the Caribbean is an opportunity to show that Peru continues to be one of the strongest countries in the region, with respect to its macroeconomic and fiscal strength, even after periods of political uncertainty.

It should be noted that the interest rates on the country’s sovereign bonds are among the lowest in the region and in emerging economies, which reflects the confidence of financial markets in Peru’s macroeconomic and fiscal strengths.

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