IDB Issues $93 Million Bond In Mexico

The Inter-American Development Bank (IDB) has issued a 10-year local-currency bond for Ps1 billion ($93 million) in the Mexican market, offering a rate of 8.67%. In Mexico 65% of the issue was taken up by Afores (pension funds) and the rest by foreign investors. The issue was oversubscribed by Ps1.3 billion and was led by HSBC. The IDB issued a three-year peso-denominated bond in Mexico last year for Ps3 billion paying 6.59% per annum. Following this issue, the Bank launched local-currency bonds in Colombia, Brazil, Chile and Peru, helping to develop an international market in Latin American paper. Former Colombian diplomat, Luis Alberto Moreno, officially took over as IDB president yesterday following the resignation earlier in the year of Enrique Iglesias who headed up the Bank for 17 years.