Goldman offers to manage Bangladeshi bonds

bdnews24.com :
Global investment giant Goldman Sachs has expressed its interest to manage Bangladeshi sovereign bonds in the world market.
Finance Minister AMA Muhith told this to reporters after a meeting with a delegation from the company on Thursday.
He said a decision would be given about the Goldman proposal after discussing it with the prime minister.
The delegation included Goldman’s Hong Kong office MD Paul Rhodes and Vice President Jonathan Tung and London office MD Ryad Yousuf.
“They said Bangladesh was going through a good time. In future development work would increase in the country and we will need foreign loans.
“On the other hand’ the global economy is gearing up, which means interest rates might go up,” the minister said.
“We can gain the advantage if we release bonds now. So they are interested in assisting us if we want to release bonds. They want to advise, at the least,” he added.
“Goldman Sachs delegates have told me they can get $ 2 to 3 billion with our sovereign bonds in five years. The interest will be 7 to 9 percent,” he said.
“Although, if we want we can make it $5 billion and extend the maturity period by another two years.”
The minister said the foreign loans the government was taking was mostly suppliers’ credit from China and Japan.
“We’re taking products from specific places. Bonds have some advantage, and a lot of countries have switched to bonds,” Muhith said.
“We considered this last year but couldn’t do it for many reasons. We’ll take up the initiative again this year,” he added.
Prime minister’s Economic Adviser Moshiur Rahman, Energy Adviser Tawfik-e-Elahi Chowdhury, Bangladesh Bank Governor Atiur Rahman and Finance Secretary Mahbubur Rahman were present at the meeting.