MANILA: Philippine companies are expected to raise at least 100 billion pesos ($2.1 billion) by issuing bonds next year to finance expansion plans and infrastructure investments, the country's bond market operator said on Tuesday.
Corporate bond listings in the PDS Group's fixed income trading platform slid to 107.4 billion pesos this year from a record 190 billion pesos in 2014 as market volatility weighed on investor sentiment.
"Because of the urgent need to start public-private partnership (PPP) projects, funding would be required by the companies," PDS President Cesar Crisol said.
Since launching the PPP programme in 2010, the government has awarded 12 infrastructure projects worth $4.83 billion. They consist of toll roads, schools, an automated fare collection system, a railroad, a hospital and a bulk water project.
Thirteen PPP projects worth $10.92 billion are in the process of being tendered out. Companies with maturing obligations would also opt for refinancing through bonds next year, Crisol said.
To date, there are 35 companies that have a combined 100 bond issues in the Philippines' fixed income trading platform.
Comments
Comments are closed for this article.