Dollar Bond Sales in Asia See Worst Start to Year Since 2016
- Fed hikes have sent region’s borrowers home for cheaper debt
- China’s economic woes have dampened appetite for Asian bonds
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Dollar bond sales in Asia are off to their weakest start in eight years, bucking a strong global trend as regional borrowers raise cheaper funds at home and wait for the Federal Reserve to cut interest rates.
High borrowing costs prompted Philippines property firm Vista Land & Lifescapes Inc. to postpone its sale, contributing to the 28% year-on-year drop in US-currency debt issuance. Sales in ex-Japan Asia has totaled just $18.2 billion since 2024 began, Bloomberg-compiled data show. This is in stark contrast to the US and Europe, where issuers have smashed records amid a deals bonanza.