The Ministry of the National Treasury for Emissions of the Sovereign Debt leaves in the Chinese market, which is called in Iuanes, said that two government sources, noting that there is no final decision on “panda bonds”.
The plan, which was initially published by FOLHA De S. Paulo, reflects the country’s efforts to strengthen relations with China, its main commercial partner.
The strategy gained the power of the trade war raised by the definitions imposed by the United States and strengthened by President Luise Inacio Lula da Silva to Beijing, closed on Wednesday (14) with a series of Chinese investment ads and the exchange rate agreement between the Central Bank of Brazil and the famous bank of China.
The Treasury did not immediately respond to the request for comment.
One of the sources, who spoke on the condition of anonymity due to the sensitivity of the issue, said that the sovereign emissions in Iuanes will be logical in the face of expanding the Chinese financial market, indicating that the treasury regularly evaluates the chances of emissions in different coins.
“Due to the lack of a final decision so far, it is difficult to evaluate the timing, and if this is something for this year, in the near future or if that will be something else for the future,” he said.
In the annual financing plan this year, the Ministry of Treasury highlighted the continuity of determining the priorities of foreign emissions in dollars, with the aim of maintaining an effective sovereign interest curve and providing reference for emissions from Brazilian companies abroad.
In February, the country raised $ 2.5 billion with a new sovereign title for 10 years in US currency.
Currently, 96 % of the Brazilian public debt is called in Reese, with the rest often concentrated in dollars. The last external emission was held in a different currency in 2014 in the euro.
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