The beginning of 1998 offered a good opportunity for Colombian Bonds to be issued in the Euro Market. The Republic completed two transactions in this first quarter.

The first transaction was closed on February 11, 1998 regarding the issuance of 100 million sterling pounds represented in 9.75% notes due 2008, issued under the EMTN program of the Republic and regulated under Rule 144A. The second operation, was the successful entry into the Italian Lira market in an operation closed on March 6, 1998, represented by 7.0% notes due 2002, also issued under the EMTN program in an amount of It.L 400.000.000.000. Both operations were celebrated to finance internal budgetary expenses.

The Republic is planning to execute another operation which is to be completed before the quarter end. Such operation will be effected through the issuance in the international markets of a Global Bond in an amount close to US 500 million. The operation will be launched under a recent increase of the shelf registration of the Republic of Colombia.

Prepared by German Villamil from Gomez Pinzon & Asociados, Bogota, Colombia.

The content of this article is intended to provide a general guide but specialist advice should be sought about your specific circumstances.

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