Top of most bankers’ lists for likely borrowers in the near future is Indonesia, which on January 20 announced an increase in the state budget deficit from 1% to 2.5% of GDP. The local press reported finance minister Sri Mulyani as saying that the deficit could be covered by unspent funds from the previous year’s budget. However, several debt bankers confirmed to Euromoney that they had heard strong indications of a bond from Indonesia within the next few months. The country has a good recent track record, having successfully executed two deals in January and June 2008 worth a total of $4 billion, almost a quarter of that raised by all sovereigns in Asia ex-Japan in 2008.
"Asian sovereigns in...
