Malaysia

Malaysia

Jho says it ain’t so

Regulation

Regulation

The battle to sketch the new face of global banking


Building out Latin America's bond markets

Building out Latin America's bond markets

February 2015

The region’s local debt markets are at a crucial point. International interest is growing. Investment banks are building up. But with one exception, domestic supply and demand remains limited. Can other countries follow Mexico’s lead? Euromoney investigates the dynamics of Latin America’s main bond markets.



Green shoots of recovery in Russian ECM

Green shoots of recovery in Russian ECM

April 2015 | Sponsored by VTB Capital

Large international investors continue to closely monitor Russian issuers and are ready to invest if their requirements are met, as demonstrated by two recent deals successfully brought to the market.

More from VTB Capital
Renewable energy: Africa’s light at the end of the tunnel?

Renewable energy: Africa’s light at the end of the tunnel?

March 2015 | Sponsored by FBN Capital

The sheer scale of energy demand in Africa rather than the environmental impact of fossil fuels should be the crucial driver of energy policies on the continent.

More from FBN Capital

Asia

Jho says it ain’t so: Malaysian tycoon denies role in 1MDB ‘heist of the century’

Jho says it ain’t so: Malaysian tycoon denies role in 1MDB ‘heist of the century’

April 2015

The saga of scandalized Malaysian sovereign wealth fund 1MDB has drawn in many high-profile figures from the country’s establishment. None more so than a flamboyant, Hong Kong-based tycoon. But the self-styled Jho Low denies all involvement in 1MDB. Now he’s ready to publicly defend himself – and point the finger of blame at others.


Debt restructuring with Chinese characteristics

March 2015

Critics may cry foul at the moral hazard but Beijing has bought itself time with its debt swap for local governments.

Digital banking: Electronic shock for China's old guard

April 2015

Tencent and Alibaba are at the vanguard of setting up new online banks. It's a great way to shake up the old state players and, by mining their data, get credit ratings for China's underserved population. But do upstart tech companies really have the political and business resources to challenge the incumbents?

Stock Connect: China shorting plan ‘needs more lenders’

April 2015

The pool of approved stock lenders for the Shanghai-Hong Kong Stock Connect short selling scheme must be widened for the initiative to succeed, according to market experts.

Asia: Patience pays off as Citic/CLSA makes its mark

March 2015

Few thought that the marriage of a Chinese securities firm with an Asian brokerage which had a unique, and at times disruptive, culture could work. But two years on, Citic and CLSA have proved they can be at least the sum of their parts. Can the combination now become a true regional powerhouse as its leaders hope?

The battle to bank Asia’s next corporate champions

March 2015

Having the largest and most successful corporations in Asia as clients brings prestige and profit to the banks involved, but just beneath the very top is where the fight for the spoils of the future is raging. How do you pick – and bank – Asia's next generation of corporate champions?

Indian ECM volumes set to rise, while fees stay low

March 2015

A number of eye-catching deals in the Indian market in 2015 are creating excitement for bankers about the potential pipeline of deals this year.

Banks diversify to support Asia’s corporate expansion

March 2015

Increased working-capital efficiency and centralized treasury operations are freeing up the funds needed by Asia-based corporates to expand into new markets. This is pushing their banks to innovate with new treasury products and services.

Regulation: Philippines remains a tough nut to crack

March 2015

The country’s banking industry is growing fast. New laws designed to encourage foreign investment make it easier for offshore firms to wholly purchase local lenders. But there are plenty of barriers to entry aside from regulation.

Haitong sets out its stall after BESI buy

March 2015

The investment banking arm of Banco Espírito Santo’s search for an investor had begun long before the shenanigans at its parent bank began to come to the surface in the summer of 2014, according to Francisco Cary, BESI’s deputy CEO and chief financial officer.

Asia still sees plenty of potential in Latin America

March 2015

Toshifumi Murata of Latin America for Bank of Tokyo-Mitsubishi UFJ (BTMU) is confident of continued growth.

RMB depreciation expectations shift trading strategies

March 2015

As China gradually loosens its grip on its FX regime, an ostensibly overvalued RMB is expected to fall back in line with global currencies, presenting a range of opportunities for traders, ranging from USD/CNH spot positions and the options market, to punts on the CNY-CNH differential.

The future of the RMB: special focus

April 2015

An in-depth guide to global currency wars; how Beijing is seeking to globalize the renminbi, through currency swaps and trade-financing facilities; the rise of the offshore bond market; and how fee-hungry banks are salivating at the prospect of the RMB’s growth.

Stronger RMB, stronger China

March 2015

China’s currency might look overvalued, but that is only half the story.

From Peregrine to Snowflake – the re-invention of Andre Lee

February 2015

From the pariah of Peregrine to thought-leader for a new type of finance, Andre Lee’s re-emergence is an example to those whose careers the financial crisis cut short.

RMB: Banks staff up to match rise of Chinese currency

February 2015

The need of banks to raise awareness and staffing levels around the renminbi within their own organizations looks set to be key as the battle for business heats up.

Malaysia’s CIMB mulls next move after merger setback

February 2015

Malaysia’s quest to create a regional champion with a large Islamic bank came to an end when a plan for a three-way merger was scrapped. The country’s second-largest lender by assets is now retrenching to boost returns and eyeing strategic acquisitions.

Rising dollar makes renminbi second-most overvalued currency

February 2015

What goes up must come down, even the renminbi. Having appreciated by more than 30% since 2008 against a trade-weighted basket, there is growing consensus that 2015 will see further falls in the Chinese currency.

More asia stories


Latin America

Building out Latin America's bond markets

Building out Latin America's bond markets

March 2015

The region’s local debt markets are at a crucial point. International interest is growing. Investment banks are building up. But with one exception, domestic supply and demand remains limited. Can other countries follow Mexico’s lead? Euromoney investigates the dynamics of Latin America’s main bond markets.


Latin America: The great rotation in M&A

March 2015

With equity and now debt funding getting scarcer in public markets, Latin American corporates must think of other options. For longer-term investors, and for those with a strong appetite for risk, the region’s troubles are a rare opportunity.

Brazil's education still smart despite regulatory blow

March 2015

Tarpon takes control of Abril for R$1.3 billion; new regulation might limit numbers of higher students.

LatAm bond markets: Argentina – A question of politics

March 2015

Argentina’s relative seclusion from the international capital markets has meant a lot of volume has built up in the local markets.

LatAm bond markets: Chile – Financing their own

March 2015

Bring up the topic of Chilean financial markets to a financier with a regional role and more often than not the adjective they use is 'sophisticated'. However, while the country has the longest-standing investment-grade credit rating and has strong, well-capitalized banks, that isn’t synonymous with sophistication.

LatAm bond markets: Colombia – Only for the strongest

March 2015

Having a buyside full of risk-averse investors is a common theme among Latin America’s local debt capital markets but Colombia takes this to the highest level. Unless you are locally-rated AAA or AA+ then forget about the debt markets – bank debt is for you.

LatAm bond markets: Peru – Ready for a big leap forward

March 2015

Peru’s economy has been averaging more than 5% growth a year for the last 10 years but that growth has not, as yet, been matched by corresponding growth in the volume of bonds issued in its local debt capital markets.

Brazil's local capital markets: Blame it on Brasilia

March 2015

Brazil has all the ingredients for successful local markets, but it keeps failing to deliver.

Latin America: Copper-bottomed Chile wrestles with risk

February 2015

Tax reforms from Chile’s new, left-leaning government are having an unsettling effect on the economy, which is also suffering from a plummeting copper price. The country’s new president is looking next to tackle inequality with further reforms, but as a result the pressure will ratchet up its strong credit rating.

Private banking spotlight lands on Mexico

February 2015

Busy market set to get more crowded; independent players step up.

DCM: Mexico fills Brazil void in international markets

February 2015

Sovereign reopens market; Petrobras saga stymies Brazil.

Private banking in Latin America: Brazil reverts to type

February 2015

The private banking industry in Latin America had a difficult 12 months as wealth creation slowed throughout the region. The picture for the year ahead looks brighter for some countries, but Brazil remains the dominant market and its prospects are still murky.

Peru: Central bank to boost domestic currency lending

February 2015

Central bank targets dollarized liabilities; banks will need higher reserves for dollars.

More latin america stories


Central and Eastern Europe

Baltic bonds are expensive – get used to it

Baltic bonds are expensive – get used to it

April 2015

It should be no surprise that Latvia is trading well inside Italy. The fiscally disciplined Baltic states would fare better than the eurozone’s southern periphery in the event of a Greek exit.


Emerging Europe: Belarus embarks on a charm offensive

March 2015

Belarus’s leaders are promising a dramatic package of reforms that could overhaul the country’s sclerotic command economy and reduce its dependence on Russia. The only trouble is, no one believes them. Mixed messages to the bond markets haven’t helped.

Belarus pushes private-sector plans

March 2015

Belarus’s first deputy economy minister Alexander Zaborovsky insists that policymakers are keen to boost the share of the private sector in the economy through the development of new businesses. This meets with a high degree of scepticism locally, given the government’s record on the treatment of entrepreneurs.

Emerging Europe: The growing pains of CEE private equity

March 2015

Successive crises have taken their toll on the private-equity industry in emerging Europe and enthusiasm for the region has waned. Nevertheless, its combination of strong growth and opportunities for convergence with western Europe continues to attract a hard core of supporters.

Emerging Europe: Turkish M&A on the rise

March 2015

Boosted by a rich run of privatizations, the Turkish M&A market burst into life last year, hitting the highest total value of deals for close to a decade. The hope for 2015 is that the same feat can be repeated. In an election year, anything is possible.

Hungary banking: The price of peace

March 2015

Viktor Orban’s spat with Hungary’s banks has cost the country dear. The bank tax may be on the way out, but the financial sector’s troubles are far from over.

Mugur Isarescu: Romania’s central figure

February 2015

While finance ministers come and go, one man has been a figure of constancy for the nation’s economy: central banker Mugur Isarescu. He has created a fully functioning central bank in a market economy from the shell of a communist regime. With inflation under control and the exchange rate stable, what is his next challenge?

Symbolic Hungary deal ends ‘hostile’ attitude to banks

February 2015

Hungary’s government commits to reduce bank taxes, while a proposed stake in Erste Bank shows ‘we’re all in the same boat’, says the minister behind the plan.

Russia: Buyers shun deeply discounted rouble

February 2015

Russia has been caught in the eye of a perfect storm. Battered by falling oil prices, US and EU sanctions and a dramatic market correction as the rouble was allowed to float, the currency has been in free-fall and liquidity has largely evaporated, with many brokers ceasing rouble trading altogether.

Turkey: New rules prompt Vakifbank tier-2 move

February 2015

Basel III law opens up funding; investors bring $1 billion book.

Czechs can avoid Swiss disruption, says governor

February 2015

Exchange rate regime set to run into mid-2016; CNB ready to act to prevent market shock.

Emerging Europe: Swiss franc appreciation hits CEE banks

February 2015

Politicians urge ‘Hungarian’ solution; Polish, Croatian banks in firing line.

Debt capital markets: SNB policy change hits Swiss franc debt issuers

February 2015

Central and Eastern Europe most affected; foreign Swiss franc bond issuance is frozen.

More central and eastern europe stories


Middle East and Africa

Middle East: War gives Lebanon’s banks an edge

Middle East: War gives Lebanon’s banks an edge

April 2015

Local firms are using the experience of doing business in acute political volatility for the next stage of their international expansion. Braving coups, corruption and violence, banks are expanding into some hair-raising countries.


African PE executives: Collaborate to boost deal-flow

April 2015

Private equity investment has reached pre-financial crisis levels in Africa. However, more deals could be executed if there was more collaboration between funds, private equity managers say, against the backdrop of a more challenging commodity-driven economic cycle.

Bank of Beirut fine adds to Lebanon woes

April 2015

UK levy shows increasing burden of regulatory scrutiny; concerns rise over banks’ access to dollar funding.

South Africa's finance minister sticks to fiscal guns

April 2015

South Africa’s deteriorating economic outlook has fuelled fears of a credit downgrade to junk status. Nhlanhla Nene, South Africa’s minister of finance, explains to Euromoney the country's fiscal balancing act.

Rwanda water PPP project helps flow of Gulf infrastructure

April 2015

A $75 million commitment to the government of Rwanda for clean water production through a public-private partnership (PPP) is the largest in terms of capacity and value in sub-Saharan Africa (SSA), outside of South Africa. Despite this being a drop in the ocean given the region's investment needs, it underscores growing Gulf appetite for SSA investment.

Iranian banks take to the courts

April 2015

Mellat leads legal action against UK; lifting sanctions only half the issue.

Iraq finance: Geopolitical pawns

April 2015

Iraq is asking UK investors to help finance its war against Islamic State. Are pension funds equipped to mix politics with prudence?

Africa private equity debate: Realising Africa’s potential

April 2015

The investment potential in Africa has long been discussed but finally the hype is turning into reality. Regional private equity firms are beginning to convert their local knowledge of Africa’s subcontinent into cash. But there are still many obstacles to establishing a thriving business in sub-Saharan Africa.

Middle East: Kuwait still cooking with falling oil

March 2015

The country is vulnerable to a continuing low oil price, but that doesn’t seem to be stopping it from keeping up the pace of capital projects. And there are still plenty of reforms to make if the state is to develop the economy.

South Africa: Nene’s balancing act

March 2015

South Africa is plagued by slow growth and escalating debt levels. So how can the country’s new minister of finance, Nhlanhla Nene, get the economy moving again while balancing the budget?

Emerging markets real estate: moving in for the long run

March 2015

Property continues to be popular. The big sovereign wealth funds appreciate the long-term prospects of developing countries, and have the flexibility to chase opportunities across structures, markets and cycles.

Africa bond: special focus

April 2015

Egypt back in vogue, but still a high-risk investment

March 2015

A return to the international capital markets in April is whetting the appetite of yield-hungry investors eager to snap up the $1.5 billion Eurobond likely to herald the first in a series of market offerings. But are the sovereign borrower’s risks being ignored?

Middle East: Assessing the Dubai International Financial Centre

March 2015

Dubai’s success as a financial centre depends on whether or not it has succeeded in its aims. And what were they?

Emirates NBD: Scale emerges from the culture clash

March 2015

Much has been said about the unfortunate timing of the Emirates NBD merger just before the global financial crisis, but what is often forgotten is just how challenging that merger would have been in any conditions.

IMF: Can Ghana resist temptation?

March 2015

The country hopes a deal can revive its stumbling economy, but it will be hard to stick to the IMF’s conditions when the 2016 elections are so close at hand.

Emirates NBD: Nelson’s milestone moment

March 2015

If timing is everything, then Emirates NBD should be nothing. The merger that created the bank brought together two wholly dissimilar institutions, just as the global financial crisis brought Dubai to the brink of default. It has suffered ever since. Until now. Have Emirates NBD – and Dubai – really turned the corner?

Lebanon sells $2.2 billion of bonds

March 2015

Biggest-ever bond sold in two tranches of 10 and 15 years, underpinned by robust banks.

Escalating risks for sub-Saharan African Eurobond issuers

February 2015

Risk experts have become increasingly concerned about prospects for the majority of African sovereign borrowers that are considering issuance in 2015. Will investors demand a premium?

Cote d’Ivoire kicks off African Eurobond market for 2015

February 2015

Cote d’Ivoire’s latest Eurobond and the first out of sub-Saharan Africa this year indicates investor appetite for African sovereign debt and the country’s strong fundamentals.

More middle east and africa stories


Euromoney Country Risk

Euromoney Country Risk Survey Q1 2015: Russia crisis, China fragility and EMs’ capital-flow shock

Euromoney Country Risk Survey Q1 2015: Russia crisis, China fragility and EMs’ capital-flow shock

April 2015

Emerging markets (EMs) with fiscal and external imbalances, vulnerable to capital outflows – including oil and other commodity producers struggling to balance their budgets – are among the 72 sovereigns downgraded since the end of 2014 by more than 440 economists and other country-risk experts.


Euromoney’s experts clock Finland’s struggles before rating agencies

March 2015

A downgraded outlook from rating agency Fitch highlighting the sovereign’s economic difficulties was predicted by its country-risk score trend. Moody’s is lagging behind, but might respond when it reviews the sovereign in June.

Egypt back in vogue, but still a high-risk investment

March 2015

A return to the international capital markets in April is whetting the appetite of yield-hungry investors eager to snap up the $1.5 billion Eurobond likely to herald the first in a series of market offerings. But are the sovereign borrower’s risks being ignored?

Risk experts adopt a nuanced position on Austria

March 2015

The credit implications of resolving failed lender Hypo Group Alpe Adria (HGAA) are not what they seem. The upshot is Austria is not about to suffer the same fate as Cyprus, Iceland or Ireland.

Escalating risks for sub-Saharan African Eurobond issuers

February 2015

Risk experts have become increasingly concerned about prospects for the majority of African sovereign borrowers that are considering issuance in 2015. Will investors demand a premium?

More euromoney country risk stories


 
       
 

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