Colombia To Issue Samurai Bonds

Colombia is planning to issue Y22.5 billion ($195 million) of Samurai bonds, the first time the sovereign has done so since 2001, and the first Latin American country to issue such instruments since Argentina defaulted on its Japanese-currency debt in 2001 and dampened Japanese investor interest. The principal and part of the interest will be guaranteed in Japan by the Japan Bank for International Cooperation (JBIC). The issue will be arranged by Mizuho Corporate Bank, which will offer the bonds to Japanese regional banks and insurance companies through a private placement.