Mitsubishi UFJ Financial Group (MUFG) is in talks with a number of governments as it seeks to build a pipeline of swaps to help developing nations refinance debt and free up funds for social and infrastructure projects.
Japan’s biggest bank is looking to expand its presence in the market for debt swaps after helping to wrap up a €400 million ($465 million; ¥69.2 billion) deal for Cote d'Ivoire in December. Following that transaction, MUFG is now "engaging with a number of borrowers on similar structures,” Ankit Khandelwal, the bank’s head of Africa sovereigns, development finance institutions and blended finance, said in an interview.
The expectation is that the December deal will serve as a "catalyst for a lot more of these transactions going forward, not just in Africa,” Khandelwal said in an interview.
With your current subscription plan you can comment on stories. However, before writing your first comment, please create a display name in the Profile section of your subscriber account page.