MANILA, Philippines — The Department of Finance is exploring the possibility of issuing different types of financial instruments, including catastrophe bonds, global depositary notes and sustainable development goals (SDG) bonds. According to the DOF, Finance Secretary Carlos Dominguez welcomed a proposal from the Citi Group to help the government in sponsoring catastrophe bonds (Cat bonds). Collins said Cat bonds were attractive to hedge-fund investors and asset managers because these diversify their portfolio. Earlier this year, the Citi Group helped draw up $1 billion worth of catastrophe bonds covering Chile, Colombia, Peru, and Mexico. It was the largest single issuance of Cat bonds ever facilitated by the World Bank.

Source: Philippine Star October 14, 2018 16:06 UTC