PNG LNG: What could Papua New Guinea’s new pipeline project bring?
1 April, 2009Malaysia debt markets report: conventional markets
1 April, 2009Additionally, competitive funding after the currency swap is important, although he describes this as “more of a technical element, not a strategic one.”
“Our public offerings in the G3 markets are obviously the main tool, the main facilities for us, but we can also do some opportunistic borrowings using our EuroMTN program,” he says. “Those markets [Asian local currency debt] depend on the market situation, including the swap basis cost, depth and liquidity. Sometimes they provide a competitive level for the issuer; sometimes not. You need to watch.”
Cho says the KDB has investment banks keeping track of Malaysia, but “unfortunately at the moment according to their information it is not the right time to go there. So we wait and see at the moment.”
Cho says that the state of the swap market is particularly key. “The final currency we need is US dollars, so the swap market situation is very important for us,” he says.
This article was one of a series in IFR Asia’s Malaysia debt markets report, April 2009
