The Australian Business Securitisation Fund (ABSF) passed both houses of parliament on 3 April and received royal assent on 5 April. The initiative – which directs the Australian Office of Financial Management (AOFM) to increase the availability of finance to SMEs – now enters the final stages of planning before becoming operational on 1 July 2019.
A day after the 2 April presentation of the Australian federal government’s budget for 2019/20, the Australian Office of Financial Management (AOFM) revealed that is expects to issue A$58 billion (US$41 billion) of Treasury bonds in the coming financial year – up by A$4 billion on 2018/19. At the same time, the government debt-management agency plans to issue just A$2.5 billion of inflation-linked bonds in 2019/20 – down from A$5.9 billion this year.
New Zealand’s environmental, social and governance (ESG)-themed bond market took another giant leap on 28 March, with the pricing of Housing New Zealand (Housing NZ)’s debut sustainability bond. The deal nearly doubles the total size of the New Zealand ESG-themed market and drove investor diversity and a positive pricing outcome for the issuer.