Peru has further opened its capital markets to international investors, in partnership with Euroclear.
The Peruvian Ministry of Economy and Finance has allowed for a $3 billion bond to be made available to both domestic and international investors, facilitated by Euroclear.
Foreign investors buying domestic Peruvian bonds will now be able to hold and settle them through Euroclear, in a partnership intended to further strengthen Peru’s position as a financial centre within South America.
The agreement is intended to provide international investors with a simple, efficient and cost-effective way of accessing capital markets, while also providing a single pool of liquidity.
The agreement means South America’s involvement in the international bonds market could be set to increase.
This is Euroclear’s latest partnership in South America. In January, the group began cooperating with the Chilean Ministry of Finance to facilitate access to the Chilean capital markets for international investors.
Fernando Zavala, minister of economy and finance of Peru, said: “This cooperation with Euroclear now connects our market directly to all parts of the globe, aligning our capital market infrastructure with globally recognised standards.”
Stephan Pouyat, global head of capital markets and fund services at Euroclear, commented: “Euroclear is proud to add Peru to our already well-developed Latin America market network providing international investors with a secure, efficient and cost-effective way of accessing Peruvian assets.”
