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Suriname, a potential major energy producer in South America, has decided against borrowing more money based on future oil production. The nation's finance minister emphasized the importance of not burdening future generations with debt secured by oil revenues. Suriname's economy is expected to grow by 3% this year, and the government is focused on managing its forthcoming oil wealth responsibly, including establishing a sovereign wealth fund. The country is also considering its options for future financial programs with the International Monetary Fund. [Extracted from the article]

The article discusses how surprise election results in major developing countries like Mexico and India have had significant impacts on global markets. The unpredictability of these elections highlights the risks of relying on opinion polls to predict outcomes. The article also mentions upcoming elections in the European Union, the UK, and the US, and how these events could further impact markets. It emphasizes the need for investors to consider tail risks and be cautious when interpreting polls as predictions. The article concludes by highlighting the recent volatility in the Mexican peso and Indian stock market due to unexpected election outcomes. [Extracted from the article]

The article discusses how surprise election results in developing countries like Mexico and India are impacting global markets. It highlights the pitfalls of relying on opinion polls to predict election outcomes and emphasizes the need to consider tail risks and outside possibilities. The article also mentions upcoming elections in the European Union, the UK, and the US, and how they could affect markets. It concludes by cautioning investors against making radical bets based on election outcomes and emphasizes the importance of considering long-term policies and capital flows. [Extracted from the article]

Sri Lanka is negotiating a $12 billion debt restructuring deal with creditors, and a key element of the proposal is a governance-linked bond. Under this bond, the government's interest rate would be reduced if it meets certain targets related to improving tax collection and reducing corruption. Major creditors, including BlackRock and Morgan Stanley, have expressed support for this proposal. The bond is seen as a potential solution to address the root cause of repeated defaults in Sri Lanka, which is poor governance. This innovative approach could serve as a blueprint for other countries facing similar challenges. [Extracted from the article]

Legislation proposed in New York state to change the way sovereign debt restructurings are carried out after a country defaults has been warned against by the International Monetary Fund (IMF). While the goal of the legislation is to bring more order to the process, the IMF spokesperson stated that certain provisions could introduce uncertainty and negatively impact the timeliness and predictability of the restructuring process. The IMF has not made any formal recommendations on the matter but has backed a contractual approach to debt restructurings. The proposed legislation has sparked a contentious issue between Wall Street and politicians, activists, labor unions, and charities. [Extracted from the article]

Sri Lanka is negotiating a $12 billion debt restructuring deal with creditors, and a key element of the deal is a proposal to link bond payments to improvements in governance. Under this proposal, the interest rate Sri Lanka pays would be reduced if the government meets certain targets related to tax collection and transparency. Many major creditors, including BlackRock and Morgan Stanley, have expressed support for this idea. This approach is seen as a potential solution to the problem of repeated government defaults, and it is the first time that a security has been linked to governance in this way. However, some investors are concerned about how the progress towards these targets will be measured. [Extracted from the article]

World financial leaders are calling for a revamp of the system for sovereign debt restructurings, which has left poor countries unable to access capital markets. The common framework initiative, created during the pandemic to help poor countries rework their debt, was a major topic of discussion at the International Monetary Fund's spring meetings. The current system has resulted in prolonged negotiations and defaults, with countries like Zambia, Ghana, and Ethiopia still in the process of negotiating their debt. The urgency to find a solution has increased due to the large debt payments faced by emerging-market governments this year, combined with market tensions and the Federal Reserve's stance. The involvement of Wall Street and China in debt negotiations has sidelined traditional creditors, leading to an opaque and complicated process. Measures announced recently may mark a turning point in incorporating China into the debt restructuring system, including allowing the IMF to lend to countries even during ongoing negotiations. While there have been some positive developments in distressed debt, concerns remain about repayment delays and the lack of debt relief. [Extracted from the article]

World financial leaders are advocating for a revamp of the system for sovereign debt restructurings, which has left poor countries unable to access capital markets. The common framework initiative, created during the pandemic to assist poor countries in restructuring their debt, was a major topic of discussion at the International Monetary Fund's spring meetings. The current system has resulted in prolonged negotiations and defaults, with countries like Zambia, Ghana, and Ethiopia still in the process of negotiating their debt. The urgency to find a solution has increased due to the large debt payments faced by emerging-market governments, excluding China, this year. The involvement of Wall Street and China in the negotiations has sidelined traditional creditors, such as commercial banks and foreign governments. The common framework was intended to ensure equal burden-sharing among creditors, but the separate negotiations have made the process opaque. Measures announced recently may signal a turning point in incorporating China into the debt restructuring system, including allowing the IMF to lend to countries even during ongoing negotiations. However, concerns remain that the restructurings may only result in repayment delays rather than write-offs, leaving countries unable to pay in the long run. [Extracted from the article]

Panama is working to reassure rating firms about its commitment to fiscal and growth targets as concerns rise about the country losing its investment-grade status. The Panamanian government aims to reduce the fiscal deficit to 2% of GDP this year and achieve 2.5% economic growth, according to Deputy Finance Minister Jorge Almengor. The closure of the Cobre Panama mine has impacted the economy, with investors demanding higher risk premiums for Panama's debt. The upcoming presidential election adds uncertainty, with analysts suggesting that credit rating agencies may downgrade Panama further. [Extracted from the article]

Global investors and Sri Lankan officials are planning a second round of talks to restructure $12 billion in defaulted global bonds. The first round of negotiations in Europe in late March did not result in a deal, but the parties plan to continue discussions at the International Monetary Fund's spring meetings in Washington DC. A deal with private investors is crucial for Sri Lanka's plan to overhaul $27 billion of foreign debt, including bonds and loans, and to ensure continued financing from the IMF bailout. The restructuring may involve the issuance of macro-linked bonds, which link bond payouts to Sri Lanka's gross domestic product. [Extracted from the article]

Sri Lanka is set to begin negotiations with global investors to restructure $12 billion in defaulted global bonds next week. A steering committee of bondholders will discuss a proposal from the government to rework the overseas debt, which has been in default since 2022. The goal is to reach a deal quickly, especially as Sri Lanka has upcoming presidential elections. The nation's dollar bonds have risen in response to the news. Sri Lanka's central bank governor and treasury secretary will travel to Europe for discussions with bondholders, and the government also plans to engage with the International Monetary Fund and World Bank in April. The restructuring is crucial for Sri Lanka to continue receiving financing from an IMF bailout. [Extracted from the article]

Global investors and Sri Lanka officials are expected to begin negotiations next week to restructure $12 billion in defaulted global bonds. A steering committee of bondholders will discuss a proposal from the government to rework the overseas debt, which has been in default since 2022. The goal is to reach a deal quickly, especially as Sri Lanka is set to hold presidential elections later this year. The nation's central bank governor and treasury secretary will travel to Europe for discussions with bondholders, and talks with the International Monetary Fund and World Bank are also expected in April. [Extracted from the article]

Sri Lanka is set to begin negotiations with global investors to restructure $12 billion in defaulted global bonds. A steering committee of bondholders will discuss a proposal from the government to rework the overseas debt, which has been in default since 2022. The aim is to reach a deal quickly, especially as Sri Lanka is scheduled to hold presidential elections later this year. The restructuring is crucial for Sri Lanka to continue receiving financing from the IMF bailout. The government has already reached agreements with official creditors and holders of local debt. [Extracted from the article]

Zambia is set to restart negotiations with foreign investors to restructure $3 billion of global bonds, which could be a significant step in the country's efforts to recover from default. Bondholders, including Amundi UK Ltd, RBC BlueBay Asset Management, and Greylock Capital Management, received a proposal from the Zambian government last week and have entered into non-disclosure agreements to begin negotiations. The goal is to reach an agreement before next month's International Monetary Fund meetings, although a deal may be reached sooner. Zambia's progress in restructuring its debt is being closely watched as it is the first African nation to default on pandemic-era debt and is seen as a test case for the G-20's Common Framework for debt restructurings. [Extracted from the article]

Ghanaian authorities and international bondholders are set to begin negotiations this week to restructure approximately $13 billion of defaulted global debt. The talks will involve private investors and government officials, who have entered into non-disclosure agreements. The government has put forth a proposal that bondholders are currently considering. Ghana has been working to revamp its debt for over a year, and has already reached an agreement with bilateral creditors. The focus now is on finalizing a pact with eurobond investors. [Extracted from the article]

Brazilian airline Gol has filed for Chapter 11 bankruptcy, joining a string of Latin American carriers that have struggled financially due to the lingering impact of the COVID-19 pandemic. Gol plans to continue operating while undergoing restructuring, including renegotiating contracts with lessors. The airline's debt stands at around $4.2 billion, and its shares have fallen to distressed levels. While other Latin American airlines like Avianca, Latam, and Aeromexico have rebounded and attracted investors after emerging from bankruptcy, Gol's financial woes persist. The bankruptcy filing may open the door for potential consolidation in the industry, including a possible acquisition by rival Azul SA. [Extracted from the article]

Brazilian airline Gol has filed for Chapter 11 bankruptcy, joining a string of Latin American carriers that have struggled financially due to the lingering impact of the COVID-19 pandemic. Gol plans to continue operating while undergoing restructuring, including renegotiating contracts with lessors. The airline's financial difficulties stem from the pandemic's effect on travel, which cost the industry an estimated $21 billion. Unlike their US and European counterparts, Gol and other Latin American airlines did not receive bailouts. The bankruptcy filing could potentially lead to consolidation in the industry, with speculation of a Gol acquisition by rival Azul SA. [Extracted from the article]

Brazilian airline Gol has filed for Chapter 11 bankruptcy, joining a string of Latin American carriers that have struggled financially due to the lingering impact of the COVID-19 pandemic. Gol plans to continue operating while undergoing restructuring, including renegotiating contracts with lessors. Unlike their US and European counterparts, Latin American airlines did not receive bailouts, and Gol's debt has reached $4.2 billion. The airline's decline contrasts with the success of Avianca, Latam, and Aeromexico, which have posted strong financial numbers since emerging from bankruptcy. The restructuring may also open the door to potential consolidation in the industry. [Extracted from the article]

(Bloomberg) -- Suriname offered to swap $675 million of dollar bonds for new notes, including those linked to oil royalties, as the South American nation wraps up the final steps of its debt restructuring. The IMF last month approved a $52 million loan disbursement from Suriname's bailout program, saying the government's commitment to macroeconomic stability and fiscal discipline is starting to bear fruit. [Extracted from the article]

"Jamaica is an attractive investment prospect for bond holders, but it should also impact the rates that we get from the market", he told Bloomberg News in New York. (Bloomberg) -- Jamaica plans to use a pair of credit upgrades and strong investor demand for its bonds to drive down borrowing costs as it returns to global debt markets, according to Prime Minister Andrew Holness. [Extracted from the article]

Another private sector investor close to the talks, who asked not to be identified, said the IMF and the Paris Club seemed so intent on keeping China involved in the discussions that they were largely excluding private sector investors from substantive talks and dismissing concerns raised by them. (Bloomberg) -- Global creditors are increasingly at odds over how to level the playing field among lenders when governments default, jamming up efforts led by the International Monetary Fund to expedite sovereign debt restructurings. [Extracted from the article]

(Bloomberg) -- Part of the plan to save Metro Bank Holdings Plc - the UK's best-known challenger bank - was hatched from a private-island enclave near Miami known as Billionaire Bunker. It was an embarrassing episode for Frumkin, who just weeks earlier had told investors publicly that regulators at the PRA remained "very responsive" to the company's request. In a conference call with investors, Frumkin made it clear the company is still open to other deals. [Extracted from the article]

A large part of airport operators' revenue in Mexico come from so-called TUAs, or passenger fees for airport use. (Bloomberg) -- Mexico President Andres Manuel Lopez Obrador renewed his broadside challenge to the country's business interests with an unexpected change to airports' concessions agreements, sending stocks tumbling and adding pressure to the peso. [Extracted from the article]

(Bloomberg) -- Suriname expects to reach a restructuring agreement with China in November, the final piece in the South American nation's debt negotiations, said President Chandrikapersad Santokhi. Suriname's defaulted dollar bond due in 2026 has risen more than 13 cents on the US dollar this year to 85 cents, the highest since February 2020, according to indicative pricing data compiled by Bloomberg. [Extracted from the article]

Santokhi said he aims to make Suriname a "hub" for exports by connecting the isolated, jungle-covered country to neighboring countries of Guyana and Brazil. (Bloomberg) -- Suriname expects to reach a restructuring agreement with China in November, the final piece in the South American nation's debt negotiations, said President Chandrikapersad Santokhi. [Extracted from the article]

Gonzalez's center-right competitor Otto Sonnenholzner or Jan Topic, known for his hard-line approach to growing security issues, could pick up votes in the wake of Villavicencio's murder, de Sousa said. (Bloomberg) -- As Ecuador grapples with the fallout from the shocking assassination of a top presidential contender, investors are weighing how the tragedy will influence the outcome of the upcoming election. [Extracted from the article]

(Bloomberg) -- As Ecuador grapples with the fallout from the shocking assassination of a top presidential contender, investors are weighing how the tragedy will influence the outcome of the upcoming election. Gonzalez's center-right competitor Otto Sonnenholzner or Jan Topic, known for his hard-line approach to growing security issues, could pick up votes in the wake of Villavicencio's murder, de Sousa said. [Extracted from the article]

(Bloomberg) -- Opposition frontrunner María Corina Machado said she would seek to roll Venezuela's massive debt pile into a single bond as part of her plan to overhaul the country's economy. Restructuring debt - which stands at around $158 billion, according to the International Monetary Fund - is an integral step to Machado's plan for a country that has fallen deeply into poverty under President Nicolás Maduro. [Extracted from the article]

Machado's economic team said President Nicolás Maduro's government should give opposition lawmakers assurances that signing a tolling agreement will not have legal consequences for them in Venezuela. (Bloomberg) -- Opposition frontrunner María Corina Machado said she supported an agreement to suspend the statute of limitations on Venezuela's debt during a presentation to economists and bondholders in New York on Tuesday. [Extracted from the article]

When interest rates in G-7 countries were hovering near zero and cash was flowing freely around the globe, there was little angst in policy circles about alienating investors. In Egypt, which had lost its standing as an investor favorite, bonds rallied the most in emerging markets following the government's stepped up efforts to sell state assets. [Extracted from the article]

In Egypt, which had lost its standing as an investor favorite, bonds rallied the most in emerging markets following the government's stepped up efforts to sell state assets. When interest rates in G-7 countries were hovering near zero and cash was flowing freely around the globe, there was little angst in policy circles about alienating investors. [Extracted from the article]

As government defaults rise to a record in the developing world, the debate is growing frantic over how to solve these debt crises. (Bloomberg) -- A shakeup is brewing in the $1.6 trillion universe of emerging-market sovereign debt - whether Wall Street likes it or not. [Extracted from the article]

As government defaults rise to a record in the developing world, the debate is growing frantic over how to solve these debt crises. (Bloomberg) -- A shakeup is brewing in the $1.6 trillion universe of emerging-market sovereign debt - whether Wall Street likes it or not. [Extracted from the article]

(Bloomberg) -- President Andrés Manuel López Obrador's meddling in the private sector is denting Mexico's appeal as a safe haven after a stock rally that added about $220 billion in market value in the past three years. While the rail line grab episode impacted investor confidence, that's unlikely to stop nearshoring, according to Marco Priani, a money manager at Houston-based Vaughan Nelson, which manages $14 billion in assets. [Extracted from the article]

This puts Gulati directly at odds with a growing chorus of voices on Wall Street who argue that the time has come to bring back value-recovery instruments, or VRIs, as the securities are called, and use them to jumpstart stalled debt-restructuring talks across emerging markets. (Bloomberg) -- Mitu Gulati, a University of Virginia law professor, has studied a lot of sovereign debt defaults and restructurings over the years. [Extracted from the article]

(Bloomberg) -- Even in Ecuador's rich history as a repeat defaulter, the Rafael Correa years stand out as particularly painful for bond investors. Back in 2008, his administration stopped making overseas debt payments while Correa vilified creditors as "true monsters" out to crush the country. [Extracted from the article]

(Bloomberg) -- Major investors from Pacific Investment Management Co. to Fidelity Investments are pushing back against New York bills that stand to limit the amount private creditors can recover in sovereign debt restructurings. The legislation - comprised of proposals in both the state senate and assembly - would force investors in defaulted sovereign bonds to accept comparable losses to governments and other public creditors during restructurings. [Extracted from the article]

(Bloomberg) -- Major investors from Pacific Investment Management Co. to Fidelity Investments are pushing back against New York bills that stand to limit the amount private creditors can recover in sovereign debt restructurings. The legislation - comprised of proposals in both the state senate and assembly - would force investors in defaulted sovereign bonds to accept comparable losses to governments and other public creditors during restructurings. [Extracted from the article]

The legislation - comprised of proposals in both the state senate and assembly - would force investors in defaulted sovereign bonds to accept comparable losses to governments and other public creditors during restructurings. (Bloomberg) -- Major investors from Pacific Investment Management Co. to Fidelity Investments are pushing back against New York bills that stand to limit the amount private creditors can recover in sovereign debt restructurings. [Extracted from the article]

Under the agreement, investors holding debt from South America's smallest nation will accept losses of 25% on their holdings, according to a government statement on Wednesday. (Bloomberg) -- Suriname reached an agreement in principle with a key group of bond investors to restructure $675 million of defaulted global debt, debuting an oil-linked recovery tool to cap more than three years of negotiations. [Extracted from the article]

Creditors holding a majority of debt from South America's smallest nation will accept losses of 25% on their holdings, according to a government statement on Wednesday. (Bloomberg) -- Suriname reached an agreement in principle with a key group of bond investors to restructure $675 million of defaulted global debt, debuting an oil-linked recovery tool to cap more than three years of negotiations. [Extracted from the article]

The option-adjusted spread on Egyptian bonds in dollars rose the most in emerging markets in the week, rising 198 basis points to 1,434 basis points over US Treasuries. (Bloomberg) -- Even as the outlook brightens for emerging-market debt, bonds from a handful of the riskiest countries are being left behind. [Extracted from the article]

(Bloomberg) -- Even as the outlook brightens for emerging-market debt, bonds from a handful of the riskiest countries are being left behind. Bonds due in 2026 currently trade around 49 cents, according to data compiled by Bloomberg. [Extracted from the article]

"Without a doubt the IPO makes sense to support the group's growth", Avianca's head of investor relations Maria Cristina Ricardo said in an interview. (Bloomberg) -- The holding company for Avianca Group International Ltd., a Colombian airline that filed for bankruptcy during the pandemic, is planning an initial public offering as revenue roars back. [Extracted from the article]

With a bondholder deal close, Suriname is also accelerating negotiations with China, one of the people said. (Bloomberg) -- Suriname's creditors are nearing a deal with the South American nation's government to restructure $675 million of bonds, according to people familiar with the matter. [Extracted from the article]

(Bloomberg) -- As investors sorted through emerging markets at the start of the year on the lookout for potential disasters, Bolivia and Ecuador were low on their list of worries. Bank of America and Morgan Stanley declined to comment on their Ecuador recommendations. [Extracted from the article]

(Bloomberg) -- As investors sorted through emerging markets at the start of the year on the lookout for potential disasters, Bolivia and Ecuador were low on their list of worries. Bank of America and Morgan Stanley declined to comment on their Ecuador recommendations. [Extracted from the article]

The government and state oil company PDVSA stopped paying on roughly $60 billion of bonds in 2017. Investors that own government and state oil company bonds are open to negotiating a so-called tolling agreement on the bonds. (Bloomberg) -- A power vacuum in Venezuela's leadership in the US has left bond holders with no one to negotiate the country's $60 billion pile of defaulted debt, according to a lawyer who advises the largest group of creditors. [Extracted from the article]

SoftBank Group Corp. is increasing its investment in Latin America's tech industry by launching a $3 billion fund. This fund is the second private investment fund for the region, bringing SoftBank's total investment to $8 billion. The fund will focus on technology-related companies at various stages of development, including startups and those that have already gone public. SoftBank has seen success in Latin America, with its previous $5 billion fund generating significant returns. The company plans to invest in sectors such as e-commerce, digital financial services, healthcare, education, blockchain, and insurance. Foreign and local investors have also contributed to the growth of venture investments in the region, which reached a record $6.45 billion in the first half of this year. SoftBank has already invested in several successful startups in Latin America, including Rappi Inc., QuintoAndar, and Mercado Bitcoin. The company predicts that 2022 will be a significant year for IPOs in the region. [Extracted from the article]

While Alvo said he is "absolutely not" selling the Sao Paulo-based unit to the low cost competitor, Azul is now waiting to evaluate Latam's bankruptcy exit plan and may propose the acquisition offer directly to Latam creditors, according to a person familiar with the matter. (Bloomberg) -- Latam Airlines Group SA Chief Executive Roberto Alvo, seeking to stave off an overture from rival Azul SA, said the bankrupt air carrier's Brazilian operations aren't for sale. Latam hopes to receive proposals from "backstop financiers" in the coming weeks as it crafts its bankruptcy exit plan, Alvo said. [Extracted from the article]