The government is tipped to give the mandate to raise long-term dollar funds by as early as October 15, senior Central Bank officials said.
Prospective investment bankers have said they could raise the funds within a month if the mandate is given by mid-next week.rn
rnThe government plans to raise up to US$ 350 mn in long-term funds as part of its 2002 borrowing programme.rn
rnAround 12 international investment banks had earlier responded to the invitation, with suggestions ranging from a syndication loan, a floating rate note (FRN) or a rated bond issue.rn
rnThe Central Bank has evaluated some 40 proposals and submitted three names endash Deutsche Bank, UBS Warburg and Solomon Smith Barney with Citibank to the Treasury for approval.rn
rnThe government is keen to take the syndication or a FRN route and the shortlisted parties had submitted proposals in this regard.rn
rnOnce Treasury clearance comes through, the joint lead managers are expected to raise funds through an international roadshow.rn
rnGlobal interest rates are currently hovering around 2 percent over the six months London interbank offered rate. There is also some appetite for lquote exotic issues from emerging economies like Sri Lanka. rn