Brazil Issues Half a Billion Dollars in Bonds in US and EU

The dollar and the euro The issuing of Global bonds in the European and United States market, announced this Wednesday, May 7, by Brazil's National Treasury, is going to total US$ 500 million. The bonds will mature in 2017 and should start being negotiated for 4.8% above face value.

The higher the negotiated value compared with the face value, the greater the interest of investors in purchasing the Brazilian bonds. According to the Treasury, investors should have a return of 5.299% per year.

Until maturing, on January 17th, 2017, the buyers of the bonds will receive earnings twice a year. These extra earnings, referred to as coupon earnings, will be paid in January and July, with a 6% annual interest rate.

The Treasury should also issue up to US$ 25 million in Global 2017 bonds in the Asian market. The announcement was scheduled to be made before the opening of stock exchanges in Asia on Thursday.

The last time that the Brazilian government issued bonds to raise funds abroad was on June 19th last year, when the country issued Global bonds, denominated in reais (the Brazilian currency), to mature in 2028. The value of the issuance, at the time, totaled 750 million reais (US$ 451.3 million).

Since the second half of last year, the country had stopped issuing bonds, mostly due to turbulence in the international financial sector, which was prompted by the United States mortgage crisis.

ABr

Tags:

Ads

You May Also Like

Lula Eats Chicken in Public and Says Brazilians Have no Reason to Fear Bird Flu

In his weekly radio broadcast to the nation Café com o Presidente, Brazilian President ...

Tarciso

The dreams started to become confusing: those men full of open wounds would get ...

Brazil Expecting US$ 108 in Exports for 2005

Brazil’s Minister of Development, Industry and Foreign Trade, Luiz Fernando Furlan, says that the ...

Brazilian Appointed as UN Representative in Haiti

Brazil’s Ministry of Foreign Relations (MRE) received the nomination of the Brazilian Luiz Carlos ...

Brazilian General Found Dead in Haiti. Apparent Suicide.

The Brazilian military commander in charge of U.N. peacekeepers in Haiti was found dead ...

Lavagem do Bonfim at Salvador, Bahia, Brazil

Jesus and the African Gods in Brazil’s Northeast

It must be hard to be a religious fundamentalist in Salvador, Bahia, in the ...

Brazil Increases Control in the Paraguay Border

The Brazilian Federal Revenue and Customs Secretariat intends to keep intense control in the ...

Brazilian Indians Granted Land on Indigenous People’s Day

Five indigenous lands had their bounds officially confirmed April 19, when the "Day of ...

Brazil’s Lula Says He Is Creating 12 Times More Jobs Than Cardoso

In another interview for radio stations on Wednesday, December 7, (the third in a ...

Kyoto Starts. Brazil Gives Example.

One of the internationally agreed mechanisms for reducing greenhouse gas emissions was set into ...