Based on interviews with Othman Boukrami (TCX) and Pim Arends (FMO), Global Capital describes how frontier currency bonds offer development finance institutions (DFIs) a way to offset exchange rate risks for their clients, during the coronavirus crisis and more in general.
As the number of disruptive events seems to increase, frontier currency bonds could provide a prudent way to decrease risk for developing country borrowers.
Please find the article on Global Capital’s website.