IDB Ponders Argentine Peso Issue

The Inter-American Development Bank (IDB) is considering launching a local-currency bond in Argentine pesos to add to those already issued in Mexican, Colombian, Chilean and Brazilian currencies. IDB president Luis Alberto Moreno has been visiting Argentina and has signed up to $1 billion in loans from the Bank to Argentina. According to reports in the Argentine media, Moreno and Central Bank president Martín Redrado have agreed to form a working party with experts from both institutions to examine the issue. The IDB, through its financing arm – the Inter-American Investment Corporation (IIC), most recently issued a local-currency bond in Colombia last December. The Corporation successfully placed 150 billion pesos ($66 million equivalent) of the five-year bonds.