Brazil Buys Back Bradies

Brazil bought back $6.64 billion of Brady bonds yesterday, Tuesday, drawing on $5.6 billion of its foreign currency reserves to help fund the repurchase. The buyback, which was announced in February, represents 8% of the Brazil’s foreign-currency denominated debt and will save the country $350 million in interest payments. Brazil’s Brady bonds comprise five different classes and have maturities that vary between 2009 and 2024.