Economy January 14, 2021 | 11:08 am

Dominican Gov. issues a US$2.5B bond at 3.87%

Santo Domingo.- The Dominican Government, through the Finance Ministry, issued a US$2.5 billion sovereign bond, according to the provisions of the 2021 Budget, approved by Congress.

According to official information, the transaction was structured in two tranches; the first, a reopening of an existing bond for US$1.0 billion due in 2030, at 3.87%, representing a reduction in the cost for the country, in this term it’s of 0.63%.

The second tranche is a new US$1.5 billion bond maturing in 2041, at 5.3%, being the first Latin American sovereign and emerging market issuance with a 20-year maturity.

The issue, directed by Finance Minister Jochi Vicente, had a historic demand of US$10.0 billion, or four times the amount that was required.