Paraguay

At least two Latin American borrowers opted to delay new issue announcements this week as syndicate bankers suggested the names in the pipeline would be more demanding on pricing than their CEEMEA counterparts that did issue.

US market volatility has kept Latin American primary bonds silent for nine straight business after what had been a record start to the year. But even though EM borrowers from other parts of the world are this week pricing deals, Lat Am bankers are in no hurry to bring new debt issuance from the region while the volatility persists.

New issue markets in Latin America took a pause this week, but DCM bankers covering the region were not overly concerned as recent deals issued amid the volatility began to gain ground.

A slowdown in Latin American bond issuance and renewed enthusiasm for EM debt in the wake of last week’s Federal Open Market Committee (FOMC) meetings opened the door for Paraguay to sell a $500m 10 year deal.

Landlocked South American sovereign Paraguay cemented its status as one of Latin America’s fastest improving economies with a tightly priced 10 year deal on Wednesday.

South American sovereign Paraguay will meet bond investors on Monday and Tuesday ahead of a potential $500m international bond sale.

Landlocked South American sovereign Paraguay is likely to return to international bond markets early this month after nominating Bank of America Merrill Lynch and Citi to run its next debt sale.

The Republic of Paraguay was the only Latin American borrower to sell bonds in a short Easter week for much of the region, as conditions continue to improve for new issues.

Two more Latin America sovereigns could issue bonds soon as borrowers from the region make the most of improved market conditions.