Swiss bank Credit Suisse will buy Ecuador bonds with a nominal value of US$ 1.628 million as part of a broader refinancing operation to channel savings and promote conservation and sustainability efforts in the Andean country.
The financial institution had announced last week its intention to pay cash up to US$800 million in bonds issued by Ecuador for 2030, 2035 and 2040 in a downward auction, with discounts of between 30.50% and 53.25% of its value. original.
In a note issued Thursday by Credit Suisse on the Luxembourg Stock Exchange after the deadline for submission of offers, the bank announced that it will invest some US$644 million in the operation.
The Zurich-based institution will purchase 2030 bonds with a face value of US$202.3 million at 53.25% of their original value.
It will also acquire 2035 bonds with an issue value of US$1,006.2 million at 38.50% of its initial price and 2040 bonds with a face value of US$420.19 million at a 35.50% discount.
Consulted since last week about this purchase of bonds as part of a debt repurchase of the Government of Ecuador in order to promote environmental conservation in the Galapagos Islands, the Ministry of Economy and Finance has not yet ruled and has indicated that it is of a private operation. https://gestion.pe/economia/empresas/aceros-arequipa-comenzara-a-vender-productos-en-ecuador-en-el-segundo-semestre-noticia/
The Ministry indicated that in the coming days it will provide information on a US$85 million guarantee issued by the Inter-American Development Bank (IDB) for a debt swap worth US$800 million.
This operation occurs at a time when Ecuador’s risk premium remains close to 1,800 points as a result of the political uncertainty caused by the censorship impeachment trial opened by the opposition to the country’s president, the conservative Guillermo Lasso.
Also due to a lower than projected oil collection, since in the general budgets an average price of a barrel of oil of 65 dollars was estimated and in the first months of the year it has been below, when oil exports are one of the pillars for the financing of the Ecuadorian economy.
At the beginning of 2023, Ecuador’s public debt amounted to US$ 62,132.56 million, equivalent to 50.77% of the gross domestic product (GDP).
Source: EFE
Source: Gestion
Ricardo is a renowned author and journalist, known for his exceptional writing on top-news stories. He currently works as a writer at the 247 News Agency, where he is known for his ability to deliver breaking news and insightful analysis on the most pressing issues of the day.
