Thursday, October 15, 2009

Romania postpones Eurobond amid political uncertainty

BUCHAREST, Oct 14 (Reuters) - Romania has put on hold plans to launch an Eurobond worth up to 1.5 billion euros in October due to political uncertainty triggered by the fall of Bucharest minority government, a senior government official said.

The finance ministry has a government mandate for a Eurobond worth between 500 million and 1.5 billion euros, with a maturity range of 5-10 years.

'We did not abandon Eurobond plans ... it is just postponed given current political turbulences,' the official told Reuters. 'When the political situation stabilises and of course conditions will become favourable that will be done for sure.'

The European Union state launched its first Eurobond in five years in June 2008. The country is rated below investment grade by two ratings agencies.

No comments: