Document Type
Article
Abstract
The objective of this paper is to test how market-determined local-, global- and USbasedfactors explain the behaviour of Indonesian credit spreads. Using a specificasset class of bonds issued in the international market by the Indonesian government,this paper provides evidence confirming the importance of major local and globalmacroeconomic variables in pricing risky debt issued by Indonesia. Using US dollar–denominated bonds ranging from shorter- to longer-maturity groups, this studyprovides insights into the role of these determinants in the pricing process. Giventhe implications for pricing and risk management, the evidence from this study isimportant for investors, policymakers, and issuers.
Recommended Citation
Thuraisamy, Kannan Sivananthan
(2019)
"THE CREDIT RISK DYNAMICS OF INTERNATIONAL BONDS: THE INDONESIAN CASE,"
Bulletin of Monetary Economics and Banking: Vol. 21:
No.
0, Article 2.
DOI: https://doi.org/10.21098/bemp.v0i0.980
Available at:
https://bulletin.bmeb-bi.org/bmeb/vol21/iss0/2
First Page
531
Last Page
550
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License
Country
Australia
Affiliation
Deakin University
