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Uruguay’s Ministry of Economy and Finance announced today the issuance of sovereign bonds totaling $400 million in the Swiss franc (CHF) market, marking the country’s inaugural foray into this highly selective and prestigious financial arena.
The operation, carried out on June 26, 2025, comprised two tranches of CHF 160 million each, with maturities of 5 and 10 years. The bonds carry fixed annual interest rates of 1.04% for the 5-year tranche and 1.62% for the 10-year tranche, resulting in an average coupon of 1.33%. This competitive pricing reflects strong investor confidence in Uruguay’s creditworthiness and economic stability.
Minister Gabriel Oddone, alongside Victoria Buscio, Chief Advisor of the Debt Management Unit, highlighted the strategic significance of this issuance. “This debut in the Swiss franc bond market not only diversifies Uruguay’s international financing sources but also provides greater flexibility in managing debt costs amid evolving global financial conditions,” Minister Oddone stated.
The issuance was met with high demand, involving 75 investors primarily based in Switzerland. The process included extensive investor engagement through roadshows across Geneva, Basel, Zurich, Bern, and Lucerne, underscoring the transparent and proactive approach taken by Uruguay’s financial authorities.
Conducted via public offering and listed on the Swiss Exchange, this operation benefits from the conservative and high-quality standards synonymous with the Swiss capital markets. Typically reserved for issuers with credit ratings of A- or higher, Uruguay’s entry into this market is a testament to its robust institutional framework and the credibility of the current government’s policy agenda.
Leading financial institutions BNP Paribas and UBS served as joint bookrunners, leveraging their extensive experience to ensure a successful placement.
This milestone issuance opens a new strategic financing channel for Uruguay, supporting its 2025 funding program and reinforcing its position in global capital markets.
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