World’s Costliest Bond Sale in Decade Shows Ecuador Cash Crunch

By Katia Porzecanski and Nathan Gill (Bloomberg) — Six years ago, Ecuador President Rafael Correa’s government denounced the 10 percent in annual interest the country paid on its bonds as “usury.” So when the 51-year-old former economics professor was willing to pay 10.5 percent in a sale of notes this month, it raised speculation the… Read More World’s Costliest Bond Sale in Decade Shows Ecuador Cash Crunch

Ecuador GDP Growth Slowed in 2014 for Third Year on Oil Decline

By Nathan Gill     (Bloomberg) — The rate of growth in Ecuador, South America’s seventh biggest economy, slowed for a third year in 2014 as falling crude oil prices and a refinery shutdown offset gains from higher fishing and electricity output. Gross domestic product rose 3.8 percent in 2014 from a year earlier, less than the… Read More Ecuador GDP Growth Slowed in 2014 for Third Year on Oil Decline

Ecuador Discloses Loans From Wall Street, China as Oil Sinks

By Nathan Gill (Bloomberg) — Ecuador got $924 million in previously undisclosed loans from Deutsche Bank AG and other lenders, showing the extent of President Rafael Correa’s effort to line up a record amount of financing as oil prices plunge. The country took $181 million in two separate loans from units of Deutsche Bank and… Read More Ecuador Discloses Loans From Wall Street, China as Oil Sinks

Peru Top Cement Maker Unacem Says Exports to Offset Mining Slump

By Nathan Gill (Bloomberg) — Union Andina de Cementos SAA, Peru’s biggest cement supplier, expects growth in exports will help offset weakening demand from local miners. Overseas sales of clinker, an ingredient in cement production, will surge 18 percent to about 500,000 metric tons this year, Ricardo Rizo Patron, chairman of the company, said Wednesday… Read More Peru Top Cement Maker Unacem Says Exports to Offset Mining Slump

Ecuador Said to Sell $750 Million of Five-Year Bonds at 10.5%

By Katia Porzecanski and Nathan Gill (Bloomberg) — Ecuador sold $750 million of five-year bonds overseas to meet its financing needs amid a plunge in the price of crude oil. The country sold the securities to yield 10.5 percent, according to a person familiar with the matter, who isn’t authorized to speak publicly and asked… Read More Ecuador Said to Sell $750 Million of Five-Year Bonds at 10.5%

Monsters of Bond Market Now Correa Go-To as China Is Not Enough

By Nathan Gill (Bloomberg) — When President Rafael Correa defaulted on most of Ecuador’s overseas debt in 2008, he disparaged bondholders as “true monsters.” Now, he’s increasingly dependent on their goodwill. Ecuador hired Citigroup Inc. to arrange meetings with investors to gauge demand for what would be the nation’s second international bond sale in the… Read More Monsters of Bond Market Now Correa Go-To as China Is Not Enough