Asia-Pacific fixed income markets: evolving structure, participation and pricing

Joint conference of the Bank of Korea and the Bank for International Settlements on "Asia-Pacific fixed income markets: evolving structure, participation and pricing", Seoul, Korea, 19-20 November 2018.

Spurred by the tumultuous events of the 1997−98 Asian financial crisis, national authorities in Asia have been taking steps to make their economies less vulnerable to exchange rate and rollover risks from short-term external financing. One key policy goal has been to foster the development of local currency bond markets, with the aim of providing Asian governments and firms with a stable source of financing. In many ways, these efforts have been successful, and local currency government bond markets have displayed impressive growth over the past two decades. Against this background, the BIS Representative Office for Asia and the Pacific and the Bank of Korea co-hosted a conference on Asia-Pacific fixed income markets. The conference marked the completion of the BIS Asian Office's two-year research programme in this area. Papers presented at the conference covered the effects of advanced economy monetary policy on bond markets; determinants of Asian bond prices; corporate bond market liquidity; the establishment of benchmark bonds; bond financing by Asian firms; and the role of different institutional investors in Asia-Pacific bond markets.