Abstract

In June 1975 the Development Committee established a Working Group of government representatives to review possible impediments to developing country access to international bond markets (foreign bonds and Eurobonds) and to identify means of promoting such access, including official action for this purpose. The Working Group, with the assistance of the staff of the Fund, the World Bank, and some regional development banks, examined a number of subjects related to the question of access, including: (1) the implications of legal and other regulations in the capital market countries that might inhibit access of developing countries to their capital markets; (2) possible measures to improve market perceptions of developing country creditworthiness; (3) possibilities for technical assistance to familiarize potential borrowers with the requirements and potential for the various bond markets; and (4) possible financial mechanisms (for example, official guarantees, cofinancing between development banks and private financial institutions, etc.) to assist potential borrowers with the problems of initial access.27