The Australian Debt Market
- Australian Corporate Bonds - Australian Government Bonds
Name: Prathamesh Tiwari
Student No. GBBA11019
Table of Contents
2. Current market conditions
3. Australian Corporate Bonds
4. Australian Government Bonds
The economy of Australia remains the most robust economy with strong growth prospects, a very low unemployment rate and a wide pipeline of resources investment. The Australian markets have gained enough benefits from a huge global demand for the Australian dollar assets. However, a comparatively slower rate of growth globally and global instability have been posing threats to the Australian economy.
A bond is a long-term security and hence studying the current scenario of the Australian debt market is really essential. The Australian debt market can be divided into two categories, the Corporate debt market that comprises of the debt instruments issued by non-government institutions and the Government debt market, of course including Government issued debt securities.
This report will help us look into the current scenario of the Australian debt market and also look at recent issuances and various other factors that have affected the market conditions of the country.
Current Market/Financial Conditions
Around this same time last year, debt markets were not in great shape globally. In a year, with strong issuance through most parts of the market, the debt markets are in a much stronger position currently. Australia’s financial markets have been influenced by global factors such as the negative risks in Europe while in China, the US and Asian countries, the risks have been well balanced. The market conditions improved majorly due to the high demand again of the Australian dollar assets. Also, as they move to push the Australian dollar to depreciate against the US dollar, which increases...