Fixed Income Analysis /

Weekly Credit Risk Monitor

    Stuart Culverhouse
    Stuart Culverhouse

    Chief Economist & Head of Fixed Income Research

    Tellimer Research
    31 May 2018
    Published byTellimer Research
    Credit in Focus: Bank of Georgia – solid start to the year. We reiterate our Buy recommendations on the BGEOLN 2023 US$-denominated Eurobond, and the GEBGG 2020 GEL-denominated Eurobond. YTM on the 2023 bond has increased in recent weeks. We think this likely reflects concerns about the effects of higher UST yields on emerging markets. We note that the 2023 bond has tightened versus the Republic of Georgia (GEORG) 2021 bond. The latest results for the banking business were strong overall, showing that the work around the de-merger has not impacted operating performance.