Sri Lanka to sell US$45mn in bonds

March 12, 2012 (LBO) – Sri Lanka is offering 45 million US dollars worth three and four year government bonds for sale to foreign investors and permitted domestic investors, ahead of a maturity of the same volume. The state debt office, which is a unit of the Central Bank said it is offering 35 million dollars of 3-year ‘Sri Lanka Development Bonds’ and 10 million dollars in 4-year bonds, effectively rolling over a maturing and extending the tenure.

In the past, it has accepted bids over the offered amount when demand was strong.

On March 26, a 45 million tranche of 2-year bonds are maturing.

Sri Lanka Development Bonds, which pay tax-free yields in Sri Lanka are popular among investors including banks.