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TWO IMPORTANT benchmarks emerged out of Taiwan this week, with the pricing of a long expected subordinated bond for Chiao Tung Bank and the pre-launch of what could be the largest ever supranational issue in the domestic bond market, by the Inter American Development Bank (IADB). Chiao Tung's offering was first mandated early last autumn before the effects of the Asian currency crisis were fully felt in the island republic. It was subsequently re-structured from a straight 10 year fixed rate deal with 144a placement into a more traditional step-up FRN with placement in the US under regulation D(2). Credit specialists said that the majority state-owned bank's desire for aggressive pricing was the main driver behind the amended terms, which saw the majority of placement directed at offshore Taiwanese banks.

NSW TAB is to launch its flotation in early May, following release of the prospectus in the first week of that month. Merrill Lynch and ABN Amro are leading the deal, slated for at least A$1.2bn. The institutional book should close shortly after the retail component on June 12.

* Martin Hibbert has been appointed head of debt syndication Asia at Deutsche Morgan Grenfell, reporting to Martin Loat, head of global markets Asia. The move follows the relocation to London of DMG managing director Eamonn McConnell. McConnell, who was the Hong Kong based head of global markets syndicate Asia has taken over as head of debt syndicate in London.

GOLDMAN Sachs is believed to be the first of up to three banks mandated to lead manage a $1bn to $1.5bn global bond offering for the Kingdom of Thailand. Having competed hard for a bookrunner's position over the past few months, other US investment banks have now pulled back after indications from government ministers that Goldman has the mandate in the bag.

DEUTSCHE Morgan Grenfell reopened the Hong Kong mortgage securitisation market this week with a blow out deal for its own account. The $244.15m transaction parcels a portfolio of mortgages DMG bought from a Hong Kong bank last year. Deutsche has had to hold the loans on balance sheet during the period at the end of 1997 and beginning of 1998 when Hibor rose above the Hong Kong Prime rate, making mortgage backed issuance all but impossible.

BANGKOK Bank (BBL) this week broke the $1bn barrier with a successful re-capitalisation by Morgan Stanley Dean Witter which set records as the largest ever capital raising from a Thai company and the largest issue this year from Asia. "This is a timely transaction for Thailand," said a banker. "BBL is the largest bank in the country and this shows a renewed confidence in Thailand and its prospects."

INDONESIA'S Asia Pulp & Paper (APP) underlined the attractions of the convertible structure yesterday (Thursday) with a Goldman Sachs led equity linked bond that was doubled to $500m. Overwhelming demand led to the increase from the planned $250m and the bond opened well on New York with a doubled greenshoe of $100m expected to be sold on follow-through buying. Unlike other successful convertibles from the region in recent weeks, this issue was launched only after a deliberate marketing process, and not on an accelerated, overnight basis.

PANAMA and Costa Rica's decision to postpone deals earlier this month finally paid off this week when both countries received a good reception from investors for their respective deals. Although Panama's $300m 10 year global bond came at a wider spread of 265bp over Treasuries, from a original price talk of 235bp to 240bp three weeks ago, lead manager Lehman Brothers was able to build a strong book of first time investment grade buyers of the sovereign's paper. The deal tightened in to around 260bp after launch.

THE RUSSIAN Federation shrugged off political concerns this week to make a successful debut in the Eurolira sector. Thanks to market-sensitive deal management by joint bookrunners Credito Italiano and JP Morgan the five year issue was able to be increased from a launch size of Lit500bn on Tuesday morning to Lit750bn on Thursday afternoon - the maximum amount permitted for emerging market borrowers by the Italian central bank. With a 9% coupon the issue was priced to yield 435bp over the five year lira swap rate on a fixed re-offer price of 98.71 at launch - at the bottom end of the 435bp-440bp indicative pricing range and roughly flat to Russia's interpolated yield curve in Deutschmarks.

INTERNATIONAL fixed income investors were given a rare opportunity to gain exposure to Czech corporate risk this week with the launch of a DM500m five year issue by leading Czech telco, SPT Telecom. Deutsche Morgan Grenfell ran the books on the transaction, which featured a 5.125% coupon to yield 60bp over the Obl125 on a fixed re-offer price of 99.866 - at the top of the 50bp-60bp indicative spread range.

ARGENTINE mortgage bank, Banco Hipotecario Nacional pushed the euro bond market a step further this week by becoming the first non-sovereign emerging market issuer in the currency. The Eu200m three year offering, led by Chase (books) and Paribas, was widely described as well structured and priced, at a spread of 365bp over the 6% of 2001 Ecu BTAN, but nevertheless a tough deal to sell.

LATIN American corporates and banks are ploughing back into the Eurobond and Yankee markets now that investors have absorbed the recent slew of sovereign issues and are showing a resurgence of interest in Latin private sector credits. Yesterday (Thursday) Banco Montevideo became the first private sector Uruguayan entity to tap the US dollar market with a $100m 10 year offering issued at 290bp and led by UBS Securities.