After recommending a Buy for Sri Lanka 6.85% 24s on 10 June (see here) and highlighting it as one of our top trade ideas of H2 20 on 23 July (see here), we downgraded to ‘Hold’ on 7 August (see here) following its c21% rally, which seemed to us a bit...

Sri Lankan eurobonds have taken a nosedive today on the back of a Bloomberg report citing a lack of urgency for IMF funding. In an interview today, Finance Secretary S. R. Attygalle added that Sri Lanka will only look to tap the international debt ma...

If remittances drop 20% who is exposed in emerging and frontier markets?

On 7 August, we revised our recommendation on Sri Lanka 6.85% 24s – one of our Top Five picks for H2 20 – from Buy to Hold after the Rajapaksa’s electoral victory pushed prices from cUS$82 to cUS$87 in intraday trading and US$84 by cob. As expected,...

This is the second in a series of thought pieces that will look at the role of development finance institutions post-Covid-19. In practice, however, the IMF has so far stuck to its guns and refused to extend funding for countries with an unsustainabl...

Pandemic-related lockdowns, flight cancellations, and border closures may be putting a crimp on summer vacation plans. However, the precipitous drop in tourism will have an outsized impact on countries that rely on foreign travelers—with potentially...