Mongolia plans $1.2 billion bond issuance

Mongolia plans to raise up to $1.2 billion in the international bond markets this year, as part of an attempt by Asia's latest frontier economy to attract foreign investment. The IMF predicts that the country's economy could treble in size by 2020, but estimates suggest that, in order for it to do so, it will need investments of between $31 billion and $42 billion during this decade.

Batbayar Balgan, director general at the Financial Economic Policy Department in Mongolia's finance ministry, said discussions are underway for the country to issue its maiden US dollar bond. Mongolia has already been assigned ratings by the three major credit agencies. Standard Poor's has given it a BB-...